Silver markets have gapped higher to kick off the week on Monday, turned around to fill that gap, and then rallied again. Ultimately this is a good sign that the silver market is ready to continue the overall attitude to the upside, and therefore I think it is worth paying attention to solar and whether or not it can make a serious challenge towards the $28 level. If we can break above that level, then it is likely that we could continue to go much higher. At that point, I would anticipate that the market would go looking towards the recent highs at the $30 level, which of course has been major resistance in the past.
SILVER Video 09.02.21
The 50 day EMA sits at the $25.80 level, and it does suggest that we are going to continue to see buyers underneath so I do like the idea of buying dips, but I also recognize that you cannot just jump in due to the fact that a handful of people in the retail sector are trying to squeeze the market. Quite frankly, the silver market is far too big to manipulate like that, unless of course you are J.P. Morgan. At this point in time, I do like the idea of buying these dips and taking profits as they will probably come rather quick, but also find quite a bit of resistance near the $30 level. If we can break above the $30 level on a daily close, that would change everything obviously, and then the silver markets could take off to the upside for a huge move. At that point, I would fully anticipate that silver goes looking towards the $50 level, which is a historic target.
