TEHRAN (Iran News) – Silver markets initially pulled back a bit during the trading session on Thursday but seem to be finding support near the $23 level. Quite frankly, this is interesting due to the fact that the 38.2% Fibonacci retracement level is in that area, and therefore it will attract a certain amount of attention. Ultimately, this is a market that should continue to see a lot of choppiness overall, and I am still bullish of silver, regardless of the fact that we have seen a lot of negativity. Underneath, I think that the $22 level is support as well, and then the 200 day EMA.
Ultimately, if we can break above the 50 day EMA, then the market goes looking towards the $26 level. If we can break above there, then the market is likely to go looking towards the $27 level where we have seen a lot of supply in the past. To the downside, even if we break down below here, I think that the absolute “floor” in the market is closer to the $20 level. Ultimately, this is a market that should continue to be bullish over the longer term, as central banks around the world will continue to flood the markets with liquidity. Because of this, I think that this market remains a “buy on the dips” type of situation.
- source : FXEMPIRE
