Silver Price Prediction – Silver Markets Have A Choppy Session

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Silver markets moved back and forth during Monday’s session as we continue to see a lot of noise in the markets. One thing that, of course, does not help the situation is the fact that the Federal Reserve is now in play, which means that it could very well raise interest rates quite quickly. If this is to be the case, then it makes perfect sense that we will eventually see precious metals take a bit of a hit. However, you should keep in mind that silver is not just a precious metal, it is also an industrial metal.

SILVER Video 11.01.22

The $22 level below begins strong support that extends down to the $21.50 level, so at this point I think there is a significant amount of buyers below. For that reason, I’m thinking in terms of value, because I might be a dipping buyer. Obviously, we would need to see some type of catalyst to push silver higher, but simple support could be one of the main reasons to think about it at this point.

All other things being equal, you need to be careful of the US dollar, which of course is likely to be the biggest problem silver faces, as there is quite a significant negative correlation between the two assets. For this reason, you should always keep your US Dollar Index chart handy to know whether or not there will be some type of currency headwind. Nonetheless, this is a market that I think is trying to find buyers, so it will be interesting to see whether or not we can sustain the pressure the market has been under every time we dip.

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