Silver Price Outlook – Silver Continues to Watch Highs

Silver Technical Analysis

The silver market has rallied a bit during the trading session here on Thursday in the early hours as we are trying to get back to the crucial $37.50 level. The $37.50 level has been important to resistance previously. So I think it makes a certain amount of sense that we revisit it yet again as we are in an uptrend. If we can break above the $37.50 level on a daily close, then I think silver is primed to go higher, perhaps even as high as $40 based on the measured move of the recent consolidation. The 50-day EMA is now above the bottom of that consolidation where the $35 level sits and this is for me going to be a dynamic floor in the market, if you will, a trend line of sorts to determine whether or not we are still in an uptrend.

I think we are, I think we will remain. And if the US dollar takes a little bit of a dip here, that might be reason enough for silver to go higher. Furthermore, the jobs numbers in America suggest that industry will still be flowing and if that’s the case, industrial demand could come into the picture to lift silver as well. So, keep that in mind. We had recently rallied quite nicely. We’ve gone back and forth and now the question is, can we break out of the $37.50 level and continue towards $40? I have no interest in shorting silver, at least not at this juncture. I think it’s just continuing the bullish behavior that we have seen for quite some time.

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