Silver Continues to See Buyers to Start Week

NEW YORK (March 2) Silver jumped to kick off the trading week, fell back to fill the gap and now is sitting pretty much where we had opened. It’s kind of an interesting candlestick because although it’s bullish, it’s not overwhelmingly so. This is a bit surprising to me, as I would have thought we would jump straight up into the air on the news.

While the metals have done fairly well so far, they’ve been reasonably bullish, not out of control panic bullish. Maybe that tells you something. This is a really interesting move, or lack of move I suppose would be the way to put it.

Market Levels and Support

Silver was already breaking out to the upside, so if you would have shown me this chart and I didn’t know anything about war breaking out, I probably wouldn’t think much of it. It would just be a continuation of what’s been happening.

Having said that, I think we do eventually try to find the $100 level. The $90 below should offer a significant amount of support. Anything below opens up the possibility of $87 or so and then $80 where the 50-day EMA currently hangs about and will attract interest.

Long-term outlook, I think you’re probably going to try to get roughly $110 based on the previous measured move from consolidation. Buying on the dips probably remains the main strategy here in a market that has been in a strong trend for ages. At this point, I have no interest in trying to short this market.

FXEmpire