FXEMPIRE
All
Ad
Corona Virus
Stay Safe, FollowGuidance
World
21,343,945Confirmed
763,119Deaths
14,139,341Recovered
Fetching Location Data…
Advertisement
Advertisement
Christopher Lewis
Silver

Silver markets initially pulled back during the week to show signs of weakness, but then rallied rather significantly to break above the $18 level on Friday. By doing so, this is a very bullish sign and it is likely that we will see a lot of resistance near the $19 level. In fact, we have seen the $19 level offer selling pressure than once, so to simply blow through there would be exceedingly difficult to happen. I believe that a pullback is a bit overdue, although one would have a hard time arguing with the bullishness of at least the precious metals part of silver.

SILVER Video 01.06.20

I do believe that the $17 level should be rather supportive, and most certainly the $16 level as well. The biggest problem with move as of late is that silver depends on a lot of industrial man, something that does not seem to be highly likely at this point. Ultimately, this is a market that I think we are going to see a lot of volatility in, and clearly buying all the way up here is a bit difficult to do as it is stretched. That being said, the market will be difficult to short, so I think more than anything else you probably have an opportunity to buy silver at cheaper levels, and that is something that longer-term investors will be looking at with great interest. Do not use a lot of leverage in this market, that would be a great way to lose money at this point.

For a look at all of today’s economic events, check out our economic calendar.

Advertisement
Don't miss a thing!
Discover what's moving the markets. Sign up for a daily update delivered to your inbox

Latest Articles

See All

Expand Your Knowledge

See All

Trade With A Regulated Broker

  • Your capital is at risk