Silver markets retreated slightly during Friday’s trading session to test the 50-day EMA. The 50 day EMA is of course an important technical indicator that a lot of people are paying attention to, so it makes sense that we see a small rebound. Whether or not we can sustain this probably has more to do with the US dollar than anything else, as it has a huge negative correlation. At this point the market is likely to see a lot of noise, and if we were to fall below the 50-day EMA, the market may turn towards the $ 23 level.
SILVER Video 01.11.21
On the upside, the 200-day EMA sits at the $ 24.55 level. At this point, there is a significant amount of resistance just waiting to occur. At this point, the market would then turn to the $ 25 level. Going above the $ 25 level allows the market to go much higher, possibly reaching the $ 26 level.
If we were to go lower from here, there is a significant amount of support just waiting to jump in the markets as the silver market is highly correlated with reopening trade which is fine. sure is a big deal. Silver is a major industrial metal, and of course has a lot to do with the “green deal” that so many governments around the world are trying to get involved in. Having said that, I think we have more volatility ahead than anything else.
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