Silver Price Forecast – Silver Continues to See Upward Pressure

Silver Markets Technical Analysis

The silver market has rallied rather significantly during the early hours on Thursday to reach the 50-day EMA. The 50-day EMA, of course, is a major technical indicator that a lot of people pay attention to. And if we can break above there, then the market could go towards the $30 level. The size of the candlestick, of course, is rather impressive. And the fact that we broke above the $28.50 level suggests that we are continuing to see bullish pressure in general.

And I think a lot of this comes down to the US dollar, perhaps falling a bit during the early hours. Now, whether or not we can hang on to this remains to be seen. And I do believe that the 50 day EMA is going to be important in determining what happens next. If we can get above there, then like I said, I think we can go to the $30 level, which of course has a lot of psychology attached to it and probably options barriers for that matter.

If we were to turn around and break back below the $28 level, then we may drift down towards the 200-day EMA, which is also backed up by the 50% Fibonacci retracement level from the entire move. Anything towards the $26.50 level then kicks off the possibility of a complex head and shoulders, which would obviously be a very negative turn of events. That being said, it doesn’t seem very likely, but it is something that you can see on the charts.

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