Yahoo Finanza Silver Price Forecast – Silver Finds Support Near Big Figure
Silver Price Forecast Video for 09.03.23
Silver Markets Technical Analysis
Silver has initially fallen during the day on Wednesday but found enough buyers underneath to turn things around and show signs of life. By doing so, it looks like we are going to try to turn things around and rally against that major selloff that we had seen during the Tuesday session. Remember, Jerome Powell suggested in front of Congress that interest rate hikes may be coming quicker than people thought, and perhaps even more of them happening overall.
Because of this, the US dollar skyrocketed during trading on Tuesday, which worked against the value of silver and other commodities. Remember that silver is highly sensitive to the US dollar, and as a result, there is a certain negative correlation between silver and the US Dollar Index. With that being the case, you will need to pay close attention to that chart, as we continue to see a lot of volatility in all assets. As he has spoken in front of Congress on Wednesday as well, it’s worth noting that Jerome Powell didn’t shock anybody, so that may be part of why we are seeing stabilization in silver overall. Furthermore, that $20 level is at the 61.8% Fibonacci level, so that is a technical indicator that a lot of people will pay attention to.
If we break down below the bottom of the candlestick, that could signify lower pricing, and I think at that point we could see silver droping to the $19 level rather quickly. It is probably worth noting that the recent high was near the psychologically important $25 level, which has been defended quite drastically over the last several years. Even if silver does rally in the near term, I suspect that getting above $25 will be very difficult.
In fact, I suspect that we have seen the highest price on the market in this cycle. This is not to say that silver cannot rally, because quite frankly I think it will from time to time, but silver tends to disappoint a lot of people, and I think it’s going to yet again as silver bulls continue to get suckered into the market for a longer-term “buy-and-hold” position.
For a look at all of today’s economic events, check out our economic calendar.
This article was originally posted on FX Empire
