Silver Weekly Price Forecast – Silver Bounces From Major Support

Silver markets have pulled back a bit during the course of the week to reach down to the $22 level, which has been supported previously. Ultimately, this is a market that looks like it will go looking towards the $26 level. If we were to break above there, then we could go looking towards the $28 level. Beyond that, you have the $30 level and those are my next couple of targets from a longer-term standpoint. Ultimately, silver is getting a bit of a boost due to the fact that central banks around the world continue to flood the world with liquidity. That means that we are devaluing fiat currency, and therefore people are looking for hard assets such as silver.

SILVER Video 07.12.20

To the downside, if we were to break down below the $22 level, we could go down to the $20 level. That is a large, round, psychologically significant figure so there would probably be even more buyers in that area. However, this last week has shown us that there is a lot of resiliency in this market and I do not think that we get down there anytime soon. At this point, it is also worth noting that we are seeing support near the 38.2% Fibonacci retracement level which of course is crucial as well. We are in an uptrend, despite the fact that the last couple of months have been choppier than anything else. Nonetheless, when you take a look at the longer-term chart, you can see just how much of the gains needed to be digested. I think that is essentially what we are doing.

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