Silver Price Outlook – Silver Continues to See Range Hold

Silver Technical Analysis

The silver market initially did try to break out to the upside and clear the $34 level on Thursday, but as you can see, it gave back those gains and now looks as if it is heading back to the 50 day EMA. Ultimately, this is a market that continues to see a lot of volatility and a lot of choppiness in a well-defined $2 range.

The $32 level below is a significant support level that a lot of people will be looking at. With that being said, I think we are at fair value ultimately. And that is a bit of a problem for those looking for bigger moves. I also think it’s difficult to enter the market right here in the middle of this range, as you want to be involved in the exterior of the rectangle.

At this point in time, I do think that the overall attitude of the market favors the upside, but that doesn’t mean that we are anywhere near breaking out. And in fact, you could make an argument that we’re just killing time and looking for some type of announcement or movement or something just to get the markets moving in the correct direction, whatever that direction ends up being. So, with that being said, I think you have a situation where traders will continue to go back and forth between $34 on the top and $32 on the bottom, but I don’t see any real clear momentum one way or the other yet. So, if you’re a short-term trader, you might also take advantage of that.

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