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Silver Weekly Price Forecast – Silver Rallies for the Week

By:
Christopher Lewis
Published: Sep 22, 2023, 13:58 GMT+00:00

Silver rallied this week, breaking the top of a major hammer from the previous week.

Silver bullion, FX Empire

In this article:

Silver Price Forecast Video for 25.09.23

Silver Weekly Technical Analysis

Silver rallied significantly during the course of the trading session after initially dipping. The 50-Week EMA is offering a little bit of support, and of course we did break above the top of the hammer from the previous week. At this point, it looks like silver is going to try to go back to the top of the overall range, which means it could be heading to the $25.50 level. That being said, it’s likely that we will see a lot of volatility because silver is also an industrial metal right along with the precious one.

Interest rates around the world remain elevated and that does work against the precious metal part of silver, but there’s also the inflationary concerns to pay attention to. When inflation rises, quite often commodities do the same, so that might be part of what we are seeing in silver. If we can break above the $25.50 level, the market then goes looking to the $26.50 level. On short-term pullbacks, I think that the $22.50 level continues to be a lot of support, with the 200-Week EMA sitting just underneath there. At this point, I just don’t see how you can short silver at the moment, but that doesn’t necessarily mean that you jump in with both feet.

Ultimately, I think you do see an upward projection, but given enough time I think you’ve got a situation where volatility is going to be something that you have to contend with. Because of this, keep your position size reasonable, therefore I think we’ve got a scenario where smaller or non-levered positions are desirable, adding to a position once it starts working out for your trade.

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

About the Author

Being FXEmpire’s analyst since the early days of the website, Chris has over 20 years of experience across various markets and assets – currencies, indices, and commodities. He is a proprietary trader as well trading institutional accounts.

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