Silver Price Forecast – Silver markets sideways to open week
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Silver markets did very little during the opening hours of the week, as we continue to respect the $15.75 level for support. However, I think that the $15.50 level is even more supportive, and that “zone” extends down to the $15 level. I believe that the market continues to see a lot of noisy behavior, but quite frankly I like buying dips at these low levels, because I believe there’s a bit of a “backstop” near the $15 level. However, if you are trading futures, it can be very expensive to simply buying every time it drops. This is why I like CFD markets right now, and of course physical silver.
The markets will eventually turn around but we need to see signs of inflation. We don’t have that right now, and I believe that with the strengthening US dollar we continue to see a lot of choppiness and accumulation in this market. Market participants will struggle to get above the $16 level, but I think that the market will eventually do so. Because of this, I would use small positions to take advantage of these cheaper levels, unless of course you have the correct account size to trade the futures markets. I believe that the range bound traders out there are making a killing in this market, because we have seen such clear-cut levels, essentially every $0.25 in this market. At this point, I think we are low enough that selling is all but impossible.
SILVER Video 17.07.18
This article was originally posted on FX Empire