Silver Weekly Price Forecast – Silver Forms Quiet CandlestickSilver has formed a relatively quiet looking candlestick for the week, as we continue to hang about the $27 level after the recent attempted short squeeze.
Silver markets have gone back and forth during the course of the week, as we continue to dance around the $27 level. The $27 level is short-term support, and as a result it should not be a huge surprise to see buyers jump in and pick up little bits and pieces of silver in general. Underneath, the $26 level is also supportive, as it was previous resistance and we have seen more than once that buyers have jumped in on dips. All things being equal, this is a market that should go looking towards the $30 level, which is a larger round figure that people will be paying close attention to. If we can break above there, then it allows silver to branch go as high as $50 eventually.
SILVER Video 15.02.21
Looking at this market, one of the main drivers is going to be the stimulus coming out the United States, which of course is going to be destructive to the US dollar in theory. Ultimately, the market is also pricing in the idea of potential industrial demand picking up, so all things being equal I think that the silver markets will eventually find their way higher. Short-term pullbacks from here could offer support as well, with the 50 week EMA approaching the $23 level as well. In general, we have seen a significant bounce from the 38.2% Fibonacci retracement level, which in general means that more likely than not you are going to see a large and impulsive move further once we get a reason to get long again. I have no interest whatsoever in shorting silver anytime soon.
75% of retail CFD investors lose money
For a look at all of today’s economic events, check out our economic calendar.