Silver Weekly Price Forecast – Silver Continues to See Bullish Momentum

Silver Markets Weekly Technical Analysis

You can see that the silver market broke out to the upside quite drastically during the course of the weekend as people piled into silver and we had a bit of a short covering squeeze. That being said, I think it’s very important to watch this market and recognize that the area above $26 has been very difficult for some time, and it will be greatly influenced as to whether or not we can stay above $26.

If we break down below that level. I think at that point in time you may start to see selling pressure. Keep in mind that although silver is a precious metal, it’s not the precious metal like gold is. Gold is where people go to find safety in a very scary world, and silver just gets taken along for the ride.

While I don’t necessarily want to short this market yet, if we close below the $26 level, then you can start to build that case. We could drop all the way down to $22.50 and still stay in the same range we’ve been in. It is worth knowing that we did spike quite drastically, but we’ve given up quite a back of the gains at this point.

This all comes down to the weekly close, and if we close higher, then we could make an argument for breaking above $28. But right now, it looks like we may struggle to do so. This is a very interesting market to watch, and you need to be cautious with your position size.

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