Silver Forecast December 14, 2012, Technical Analysis

The silver markets initially spiked during the session on Thursday, but fell short at the $34.00 handle. The reversal was sudden and brutal, and we found ourselves at the $32.50 area in relatively short order. What is chart, we are still bullish overall, but cannot argue with the fact that right now it looks like it’s probably best to be out of this market. We are still long of silver via the physical and ETF market, but currently hold no futures positions at this moment in time. We do believe that the $32.00 level could offer support, so we will be looking at buying if we get signs of supportive action in this general vicinity.