Silver markets have gotten hammered during the trading session on Tuesday, slicing through the 50 day EMA, breaking below the $17.65 level at the same time. Silver has struggled during the trading session and it now looks as if we are going to go much lower. That being said, there is still plenty of support at the $70.00 level, as the 200 day EMA will be coming into the picture. However, if we were to break down below that level it would be a major problem for silver and could send this market much lower. That being said though, we are still in an uptrend so paying attention to how each daily candlestick closes should be the best way to go going forward. At this point, the market is going to react to the FOMC statement during the trading session tomorrow as well.
SILVER Video 29.01.20
Keep in mind that the Federal Reserve has a statement during the trading session on Wednesday, and that could of course cause quite a bit of volatility in the precious metals market as the US dollar has a major effect on what happens here. With that being the case, it’s very likely to be a rough 24 hours, but at this point I think that we are looking very likely to find a lot of interest at the $17.00 level, as it is a large, round, psychologically significant figure, and of course the 200 day EMA will have a certain amount of effect as well. Ultimately, value hunters should continue to be interested at lower levels.
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This article was originally posted on FX Empire
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