Silver Price Prediction – Silver has another volatile session
Technical analysis of the silver markets
Silver markets initially fell during Monday’s trading session but found buyers underneath. At this point I think the market will continue to be very volatile and therefore you need to be very careful with your position size and get too aggressive on a given upleg. In fact, I think this is a kind of fade the rally situation and hence it is likely that we will eventually drop to the $18 mark. The $18 mark is a big, round, psychologically significant number and an area we’ve bounced off of before.
If we break below $18, there is a high possibility that this market could drop to $15, maybe even $12. The 50-day EMA is flattening near the $19.42 level. This might offer a small near-term cap, especially as the $20.00 level is just above it and of course the downtrend line also comes into the picture.
Ultimately, this is a market that I believe is likely to see significant downside given enough time, largely due to the fact that there is a huge negative correlation between silver and the US dollar. The US dollar is not showing any real signs of easing anytime soon, so keep that in mind.
Demand for silver will almost certainly continue to fall as it is an industrial metal and we are on the verge of one of the worst slowdowns most of us will ever experience. As long as silver is so poised for growth, I don’t see how we’re going to recover for any meaningful length of time.
Silver price prediction video for 09/27/22
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