Silver Breaks Support

Silver broke the medium term support yesterday as the precious metal fell below 16.50. That level was eyed by investors as a potential rebounce point and Silver did what it could to try and rebounce. The metal gravitated towards that level for more than a day when finally the sellers outweighed the buyers and price dipped to a low of 16.30.

Price has not changed much since the bottom was hit and now Silver is faced with new horizons below support. It may decide to consolidate until US announces the NFP's and Jobs report next Friday.

Whatever the case may be, it's important to know that market analysts are now more and more talking about a potential spike in the price of both Gold and Silver so you might want to consider the idea of having some of your capital invested in the precious metal market.

Chart: XAG/USD D1