Silver markets tried to rally initially during the trading session on Wednesday but also found enough selling above to pull back. If you squint, you can make a case for a bullish flag, and certainly we have been very bullish as of late. I think silver is a bit overdone though, so don’t be surprised if we get some type of pullback to find support underneath. I think the $15.50 level below should cause some support, just as the 20 day EMA well. I have no interest in shorting Silver, and I believe it’s not until we break down below the $15 level that you should be concerned about it. We had already reached our target of $1.00 after the breakout of the consolidation previously, but I think that the longer-term consolidation area is still very much intact, meaning that we will probably go to the $17 level eventually.
SILVER Video 10.01.19
Remember, silver moves a little bit slower than gold does as far as dollar amounts, and it does tend to be very choppy. Because of this, I suspect that waiting for a pullback in buying small bits and pieces of silver will probably be the best way to deal with this market. I would use the CFD market, or perhaps use physical metal at this point. If we get a deep and a pullback, and the closer we get to the $15 level, the more likely a.m. to be involved in the futures market as it represents a significant amount of value. That’s essentially what I’m looking for here: value.
This article was originally posted on FX Empire
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