Silver Weekly Price Analysis – Silver Continues to See Buyers This Week

Silver Markets Weekly Technical Analysis

Silver has shot higher for the week, especially on Friday, as we got word out of Iran that the Iranians were going to allow the Strait of Hormuz to be open during the ceasefire for any and all vessels. This is a major de-escalation and a huge sign that perhaps things are moving in the right direction in the Middle East with peace on the verge of being something a little more lasting. If that’s the case, the main focus will be the silver shortage again, making this an interesting market indeed.

Interest Rates and Market Dynamics

With that, silver has rocketed above the $80 level, and now I think it starts to pay close attention to $90 above, although I do not think we are going to get there before the weekend. Short-term pullbacks should be buying opportunities in a market that obviously will move on interest rates. That is what we have been watching for some time now.

You can see the interest rates in the United States are starting to drop and that is like rocket fuel for silver. Silver is very highly sensitive to higher rates. So, watch the 4.30% interest rate level in the 10-year yield in the United States if it starts to be tested again, and if we break above there, that would be negative for silver. But as things stand right now, I would anticipate that a pullback towards $80 probably buys a lot of interest from those who would be bullish. I have no interest in shorting anymore.