The silver market originally retreated during Wednesday’s trading session to test the 50 Day EMA, then turned around to break above the $20.50 level as the CPI never came in lower than expected. That is encouraging news for silver, therefore there is a chance that we might rise, at least temporarily. It’s possible that we could move to the $22 level if we do break from this point. Having stated that, you must pay great attention to the interest rate markets because they will have a significant impact on our future course.
Silver is anticipated to drop to the $20.00 level, which is likely to have support, if we do break down below the 50 Day EMA. The market would very probably test the $19.50 barrier if we were to break down below there. The question is whether or not we will be able to shift the trend as a whole given that we are still very much in a decline. Although I don’t necessarily see it happening right now, I believe it’s only a matter of time until we have to make a more significant choice.
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We definitely appear to be heading for a small rebound, so volatility is to be expected, to put it mildly. Due to the negative association between yields and silver prices, you should continue to pay close attention to this market. Keep an eye on the US Dollar Index since the US dollar also has a lot to say.
