Silver Price Forecast – Silver Markets Look Resilient

Silver markets have pulled back a bit during the trading session on Friday but found enough buyers underneath the turn around and form a bit of a hammer. The $18.35 level was where we bottomed in the short term, and I think we are simply trying to build up enough momentum to take out the $20 level above. If and when we can do that, then silver is likely to begin the next great leg higher. To the downside, I believe that the $19 level will offer significant support, and therefore I would anticipate seeing a lot of buyers in that general vicinity. After that, you have the $18.50 level, and then the 50 day EMA underneath near the $18.00 level.

SILVER Video 20.07.20

With the central banks out there going into massive quantitative easing programs again, it is likely that precious metals will do quite well. Granted, if you are looking to precious metals you are probably almost always better off trading gold, because silver has to worry about industrial demand, which of course is going to be a bit of a mixed picture at the moment. All this being said I believe that the overall direction is still higher, so therefore I do not have any scenario in which a willing to start thinking about selling silver, at least not yet. In fact, it would probably take the central banks around the world suddenly changing their attitude about quantitative easing for me to start even look down that possible pathway.

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