Tuesday, December 5, 2017

Silver Steady Ahead of NFP's

Silver is trading at its lowest point since the month of August when the precious metal reached a low of 16.11. Currently, Silver stand at 16.27, a level of consolidation for the past few days. If the metal continues to gravitate freely into the chart, we might see a continuation of the depreciation to first support level at 16.11, the level that would mark a double bottom. This would be a good chance to enter long in the market with a tight stop slightly below 16.11.

If we have reached that level before Friday's data release we could see a bullish move in the precious metal market, both silver and gold.

On the other hand, a better than expected US data would drive gold and silver to levels below long support which would indicate that they are getting deeper into bearish teritorry.

Silver has been trading sideways for the past 7 months, we could expect it to break away from the pattern and start on a new journey.


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