Price Prediction for Silver — Silver Plunges Toward the 200-Day EMA

The silver market has declined during Thursday’s trading session to test the 200-day exponential moving average. In this manner, the market appears to be questioning the trend.

Thursday’s trading session saw silver reach the 200-day exponential moving average (EMA). It appears like the market is attempting to ascertain whether or not the trend will continue. After all, there has been a big upward movement, but there has also been some hesitancy in going higher. This makes some sense, as the momentum had become somewhat strained. Currently, it appears that the $22 level will continue to be significant resistance, therefore I’ll be monitoring for signs of tiredness before initiating a new sale.

If the 200-day exponential moving average (EMA) is breached on a daily close, it may not be possible to short on a bounce; momentum may be the only way to short. In any case, I have little interest in purchasing silver at the present, especially because 2-year interest rates have been reasonably stable, while the 10-year yield has everyone excited. However, this means that the market may soon receive a lesson in Federal Reserve decision-making, as it is evident that they have no intention of easing monetary policy in the near future.

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So long as this situation persists, it will generate a bit of an overhang for silver. At this time, I am not interested in purchasing this market, at least not until we surpass $22.50, which would indicate tremendous momentum and strength. In addition, I believe that a correction is long required at this time.

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