Silver Price Forecast – Silver markets bounced a bit on Friday
Silver markets have rallied significantly during the trading session on Friday, gaining over 0.5% as I record this. The market looks as if it is trying to continue to climb, but the $16.50 level above is going to be resistive from what I can see based upon previous trading. If we can break above the $16.60 level, the market could go much higher. In general, when you look at the longer-term charts it’s likely that the market will continue to bounce around, and we are towards the bottom of the overall consolidation range, which of course has me thinking that the buyers are coming and looking for a bit of value.
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I believe that silver continues to attract a lot of longer-term holders in this general vicinity, so it makes sense that we should go higher. If we can clear the $16.60 level, then I think the next target would be the $17 level. Pullbacks at this point continue to show plenty of support at the $16 level, so therefore I believe that the we continue to be a “buy on the dips” type of market. Longer-term I believe that this is an excellent investment, especially if the US dollar starts to soften again. I believe that eventually we will go looking towards the $20 level, but that’s obviously a longer-term scenario. If we were to break down below the $16 level, I see even more support at the $50.50 level.