Silver Price Outlook – Silver Spikes but Finds Resistance

Silver Technical Analysis

The silver market pierced the $37 level on Tuesday, an area that, of course, has been fairly significantly resistance, but we also have pulled back below it. It is probably worth noting that the Tuesday session also has seen retail sales come out weaker than anticipated in the United States. So, we are getting a little bit of help from the weakening US dollar. At this point though, it’ll be interesting to see how this closes because we are pulling back pretty quickly from breaking above that crucial $37 level, an area that has been important more than once in silver markets. So, I don’t know if we have the momentum to truly break out quite yet.

That being said, this is most certainly a bullish market longer term. And with that being the case, I don’t have any interest in trying to short silver. And I think we not only have that previous $37 level as resistance, but now $35.48, I believe at least, is a significant support region. Ultimately, I think we probably will continue to go sideways in general, but I don’t necessarily think that this is a market that you want to throw a ton of money into right now. We need some type of catalyst to get moving. Regardless though, shorting is impossible. So if we get a pullback, perhaps you can enter based on cheap silver, but we’ll just have to see how that plays out over the next couple of days.

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