Silver Nears Support, Key Level At 15.507
Blackwell Global | Mar 11, 2015 03:59AM ET
The silver market has as previously mentioned in other articles, continued to slide down the charts in a bearish descending wedge. The question now is how much more sliding can we have in the market and what is driving it?
At present the market has been pounded lower by the rising strength of the US dollar, which should come as no surprise as the market buys up large positions in the USD, as Greek worries continue to be a problem for the market. Also QE from the ECB has caused many to devalue the currency heavily and a move to parity with the USD is looking more and more likely.
(Source: Blackwell Trader Silver, D1)
So with the wedge starting to tighten the market is looking to move which is unsurprising. Ideally, I am still looking for a bullish run after we find proper support and we are heading that way shortly as the market nears a very strong level at 15.507. From this level I am looking for a proper attempt on the wedge which has so far held out. As after a bearish wedge is a bullish pattern in the long run, and with Greece looking to make a move demand may pick up for precious metals again very quickly.
Overall this is one to watch in the next 48 hours as silver has been building up for some time and its likely the market will be looking to rush back in for a buy with the upcoming worries building up in Europe. So look alive at 15.507 because the market is looking for a point of play.
Get The News You Want
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.