Silver Price Outlook – Silver Continues to Trade in a Range

Silver Technical Analysis

The silver market initially spiked during the trading session on Tuesday, but keep in mind that this is a market that has been very range bound for a while. So, it does make a certain amount of sense that we continue to see a bit of noisy behavior. The $33 level is an area that’s been a bit of a magnet for price. And we do need to keep in mind also that there is a lot of order flow in this area.

The 50 day EMA sits just below and is offering a bit of a short-term support level. But when you look at the longer term attitude of the market, as far as the way it’s been behaving as of late, I still think you are basically hanging around between $32 on the bottom and $34 on the top. So, range bound traders will continue to see this as an excellent opportunity to go back and forth and take advantage of short-term range-bound market trading systems.

If we break out of this $2 range, then you have to assume that we will simply follow the breakout and the measured move is $2. Whether or not we actually get those $2, as far as the size of the move is concerned, is a completely different story. But I do think that if we were to break to the upside, the $35.35 level makes sense as a target. And if we break to the downside, we have the 200-day EMA at $31.33 offering support, as well as the $31 level. Ultimately, this is a market that I think continues to just chop back and forth.

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