Silver Price Analysis – Silver Finds Dip Buyers

NEW YORK (March 12) The silver market initially fell during the trading session here on Thursday but turned around to show signs of strength as we continue to see buyers in the silver market. This is a situation where every time we drop, I think there is a good shot that there are buyers willing to jump in and pick up cheap silver. This is the plan for many other traders, and me as well.

Resistance at the $90 Level

That being said, the $90 level above is a major resistance barrier. If we can break above there, then it could open up the possibility of a move to the $100 level. Short-term pullbacks I think open up the possibility of not only buyers showing up, but I think traders starting to defend the 50-day EMA which sits just above the $80 level. This would be a situation where a lot of technical factors are coming together.

Ultimately, I think silver is bullish, but I also recognize that silver is not gold, so while there will be a little bit of a safety run to this market in all of the chaos that’s going on, I think it’s very different here in the sense that silver is more of an industrial metal. Ultimately, I have no interest in shorting silver. I think if it drops you look to buy it, but I also recognize that it’s going to be very noisy and therefore you’re going to have to be nimble. I’m not looking for massive moves to the upside. I think it’s more of a grind back and forth with an upward tilt.

FXEmpire