Silver Price Outlook – Silver Continues to Squeeze Higher

Silver Technical Analysis

The silver market has rallied rather significantly during the early hours here on Wednesday, as we are now well above the $90 level. If you had told me this just 6 or 7 months ago, I would have never believed you. But here we are, and at this point in time, the silver market looks like it is going to just continue higher until we get to the $100 level.

Short-term pullbacks offer buying opportunities all the way to at least the $80 level underneath, which had been previous resistance. A little bit of market memory could come into the picture there. Actually, the way this market looks, we could drop $30, and it would still be bullish. That is almost impossible to believe, considering most of history we’ve seen silver at under $30 an ounce, but here we are.

Runaway Trading Toward $100

With this being the case, I do think we get to $100. I think we may get there much quicker than people think now because this is runaway trading. There’s just no two ways about it. I do not have any interest in shorting this market, although someday I will, and I plan on making a fortune doing that. But we do not have any signs of that moment arising.

I do think the higher we go, the more dangerous the market gets, but that goes with any market. There’s nothing particularly special about silver in that regard. We do have a shortage of silver, but we’ve had a shortage of silver for at least 5 years. Now it’s a bet on the data centers, China hoarding its silver and going into the markets and buying more, and a whole host of other issues, such as the United States making it a strategic asset.

As things stand right now, this is a market that I think will test $100. It’ll be very interesting to see how the market behaves in that area. Look for short-term pullbacks to get involved. You might as well find value if you can and keep your position reasonable. This is a lot of pain just waiting to happen.

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