Silver Price Forecast – Silver Markets Overbought
Silver markets gapped higher to kick off the trading session on Monday, and then reached much higher during the Asian and European session as fears of coronavirus spreading into a worldwide pandemic have caused a lot of people fearing that the market will be able to expand, and as a result economic growth is all but dead. Ultimately, the silver market is being expanded by the idea of central banks around the world being forced into looser monetary policy than they already are, so therefore it’s likely that the precious metals markets will continue to attract a certain amount of attention. However, the Silver market has broken above the top of the Bollinger Band indicator, showing that we are well above two standard deviations of the norm. That normally means that we are about to see a pullback.
SILVER Video 25.02.20
Don’t get me wrong, this is not a sign to start selling Silver rather it is a sign to take profit if you are already involved. It’s very likely that the market will find plenty of support near the $18.00 level, assuming we even drop that far. Ultimately, I do like buying pullbacks, but I also have to admit that a break above the $90.00 level would be extraordinarily bullish, sending this market to go looking towards the $20.00 level. I think we get there eventually, but what we are looking at here is an opportunity to pick up value, not necessarily buying at expensive prices like we have right now. I’m bullish, but I also need to find a good entry price below.
This article was originally posted on FX Empire
More From FXEMPIRE:
Gold Price Prediction – Prices Surge Along with Gold Volatility to Fresh 7-year Highs
Equities Plunge, Coronavirus Spreads, A Major Correction Has Begun
Natural Gas Price Fundamental Daily Forecast – Milder Temperatures after March 1 Capping Prices
GBP/JPY Price Forecast – British Pound Pulls Back In Risk Off Environment
