Silver Price Forecast – Silver Continues to See Buyers on Dips in Volatile Trend

Silver Markets Technical Analysis

Silver was positive in the early hours on Tuesday as we are trying to recover from the massive selling pressure that we had seen during the Monday session. That being said, it is worth paying close attention to the $32.50 level as it has offered significant resistance and it’s also the scene of a potential double top. If we do pull back from here, and quite frankly, I think that would be welcomed by most participants, the 50-day EMA is currently hanging around the $30 level, so that makes a natural support level.

However, if we do continue to go higher, if we can break above the $32.50 level on a daily close, I think that would be a sign that we are finally breaking out. This is a market that of course has been very noisy for some time and is typically much more volatile than the gold market. With that in mind, you have to be very cautious about your position sizing because this is a market that can get you hurt.

But as things stand right now, it certainly looks as if the buyers are in the driver’s seat, and if we can continue from here, that would be fine on a breakout as well. But again, I think you’ve got a situation where every time we pull back, there will be plenty of people willing to step in and take advantage of cheap silver ounces, as it were.

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