Silver markets rallied significantly in Wednesday’s trading session to overtake last week’s shooting star. This is a very bullish sign honestly, and it is likely that this market will turn to the 50 day EMA. This is of course an important indicator that a lot of people pay attention to, so going over this level would send the money much higher in my opinion. That being said, pay close attention to the $ 24 level, this is a major obstacle to resistance. A compensation that makes this market more “buy and hold”.
SILVER Video 14.10.21
On the flip side, we’ve seen a lot of nasty moves in this market recently so it wouldn’t be a huge surprise to see the market turn around and turn towards the $ 22.50 level. If so, then at this point I have no idea what will end up picking up the money. One thing is for sure, the only thing you can count on in the silver market is volatility which is its normal attitude anyway.
The market continues to view the US dollar as a major determining factor in what happens with the silver market in general as it has a major negative correlation with what is happening here. That being the case, the market will likely continue to be choppy, but all things being equal this is a market that you need to be very small with your position and only add it once you get some clarity. and of course the market is generally moving in your favor.
For an overview of all of today’s economic events, check out our economic calendar.