Silver Weekly Price Forecast – Silver Markets Give Up Early GainsSilver initially rally during the week but we are starting to see interest rates in the United States rise again, which is putting pressure on precious metals.
Silver markets initially shot higher during the course of the week, reaching towards the $20 level. We have pulled back significantly from there though, forming a bit of a shooting star. The shooting star of course is a negative candlestick, and it does suggest that perhaps we are going to continue to see a lot of volatility and perhaps even some negativity going forward. With that being the case, I like the idea of looking for value underneath, because longer-term I do believe that silver continues to go higher. One way that I think this could happen is if we can finally see a release of selling pressure in the 10 year note, and perhaps lower interest rates again.
SILVER Video 11.01.21
Nonetheless, I think that it is only a matter of time before currency debasement continues to be the main theme for precious metals, but right now it seems as if we are starting to focus all over the place. There will be plenty of stimulus out there, so the question is whether or not that comes to roost here? I do think that is going to be the case given enough time, but ultimately, we need to perhaps try to find some value underneath.
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The $22 region would be ideal, but I do not think we even get that far. It is worth noting that we are still sitting on the top of the previous consolidation area, so at this point in time we are still in a very noisy waters. I like the idea of going long, but I just do not like doing it here.
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