Silver markets pulled back just a bit during the trading session on Tuesday, as the $18.00 level could not hold the market. That being said, there is the 50 day EMA underneath that is starting to lift a bit and try to pick the market up, and a lot of technical traders will be paying attention to that indicator. That being said, you should also pay attention to gold if you are going to trade the silver market, which at the same time gold looks as if buyers are willing to show up again. If that’s going to be the case, then it’s likely that we will get a bit of a bounce from here. That being said, if we were to break down below the 50 day EMA, which is currently at the $17.55 level, then it could open up a move down to the $17.00 level.
SILVER Video 15.01.20
Silver markets of course do tend to lag gold markets as far as attention is concerned, but they do tend to move in the same direction. Ultimately, if the market was to break out to the upside and go looking towards the previous uptrend line, we need to smash there it in more importantly close above it on a daily chart to hang onto a longer-term bullish position. I do believe in buying short-term dips, but ultimately I also recognize that this is a market that will probably continue to go back and forth based upon the most recent headlines, making it a bit choppy.
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This article was originally posted on FX Empire
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