Silver Price Outlook – Silver Continues to See Sideways Chop

Silver Technical Analysis

The silver market has seen a lot of back and forth over the last several weeks really, but Monday was just more of the same. All things being equal, it looks like the $33 level above is a bit of a magnet for price as well as a little bit of a barrier. But I think if we can break above the $33 level, then we could see this market look towards the $34 level.

The market has been consolidating between $34 and $32 at the bottom. And I think at this point, we’re just spinning our wheels trying to figure out where to go next. If you are a range bound trader, you probably love silver right now, as it’s been very reliable for you. However, if and when we do break out of this $2 range, and we will eventually, the market, at least by measured move standards, should go another $2 in whichever direction we break.

I think, though, to the upside we probably will see a lot of trouble at the $35.50 level, which was a major sell-off point. On the downside I would look at the 200-day EMA near $31.36 and then again $31 as potential support. I don’t know if we get the $2 move, that would be the expected measured move, I think we have way too much volatility here. Obviously, silver is highly sensitive to industrial demand, with everything going on right now, it’s a bit of a state of flux.

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