Silver Weekly Price Forecast – Silver Markets Continue to Press HigherAlthough it is a red candle for the week, the reality is that the market has broken down but then bounced to attack the $15 level which I believe is going to be crucial in this market.
Silver markets initially pulled back during the week, reaching down towards the $14.00 level. That is an area that offers a significant amount of support, and at this point I believe that the market will continue to pay attention to that. Having said that, the market does break down below there then the $13 level is probably even more supportive based upon the previous consolidation that we have seen between $12 and $13. If we were to break down below $12 then obviously the trend is still down and at that time, I think that we will probably go looking towards the $10 level where we will have to try to form a base again.
SILVER Video 06.04.20
That being said, the market looks as if it is going to try to press the $15 level above and if we can get above there it offers an opportunity for silver to rally quite a bit. The initial target would be the $16 level, but then eventually the $17 level after that. I do believe that we will continue to see a lot of noisy trading, and I also believe that silver is going to lag gold, but I do believe that both eventually go higher. The reason for the lack of course is going to be the industrial use for silver, and of course anything that happens with currencies. Ultimately though, the US dollar has been strengthening until recently, so that could continue to cause a lot of issues. The shape of the candlestick is very bullish and shows that we are certainly trying to break out.