Silver markets initially tried to rally during the trading session after gapping higher and then pulling back to fill that gap. Furthermore, the market reached towards the $15.00 level before selling off yet again. At this point, the market looks likely that it will continue to see plenty of pressure above. Remember, silver is going to continue to see a lot of negativity due to the fact that it is an industrial metal, not just a precious metal. That being said, I would anticipate a lot of noise going back and forth as the market will undulate between the precious metals fundamentals and the industrial ones.
SILVER Video 26.03.20
That being said, this has been a nice rally, but silver is probably going to continue to find plenty of selling pressure. However, if we were to break above the $15.25 level, then it’s likely that the market would go looking towards the $16.50 level. Having said that, it’s very unlikely that the market is going to simply go in one direction or the other for a longer-term move. Ultimately, the market could go back down towards the $13.00 level, where I would anticipate seeing a bit of support. I think that we are going to continue to see a lot of noisy action in this market, so therefore it’s likely that we will continue to see volatility that you will need to prepare for in the position size that you place in this sometimes dangerous market.