Silver Price Forecast – Silver markets shoot straight up on Tuesday
Silver markets have continued to find buyers on dips, and we have seen an explosive move to the upside during the day on Tuesday. This coincided nicely with the EUR/USD pair showing signs of life at the 1.15 level again, so I think there could have been a little bit of US dollar weakness helping the silver market, but quite frankly I think a lot of this comes down to the fact that silver is historically cheap at these levels. I recognize that the $14 level underneath is massive in its importance, and it’s very unlikely to be broken through anytime soon. This is especially true after the last couple of trading sessions, and I think now the market will set its sights on $15 above.
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If we can break above the $15 level, that is a very bullish sign, and I think that the market would then enter more of a “buy-and-hold” scenario at that point. However, I think what we are probably going to see is a short-term pullback in the meantime, as we are trying to build up the necessary momentum to slice through what has been a very negative market for quite some time. I look at buying dips as an opportunity, and don’t have any interest in shorting currently. I have been buying physical silver as you know and continue to do so for the longer-term. I believe that eventually we will see Silver markets reached towards the all-time highs, of course this is more of an investment than a trade. In the short term, I simply look at these dips as an opportunity to get long yet again.