Silver Price Forecast is Very Bullish Courtesy of the US Dollar
SILVER markets continue to swing back and forth as of Tuesday’s latest trading, as the gap from Monday’s close remains restrictive.
As a result of this movement, some Wall Street analysts are of the opinion that the market will experience a good ounce of pressure, stressing that with the right amount of time they may witness a market retreating to the $17.50 mark.
Also, as a result some may shy away from purchasing silver until it can cross the gap, which means clear the coast of the $18 handle.
A great portion of the “risk off” trade into precious metal seems to have eased, and silver, for sure, bears the brunt of the lingering pressure.
The price of silver has been looking very bullish during the past 14 days.
After inching near the $17 mark from Aug. 17 to Aug. 25, prices of silver have advanced to a 5-month peak last week.
Between Sept. 1, and 8, silver rose 1.7 pct to $18.12 – its highest settlement since April 19.
This is a 6.1 pct push above the 200-day moving average of $17.08, which has served as a sort of resistance level. By exceeding the $17.08 mark, silver looks prepared to soar higher.
Meanwhile, the US Dollar Index (DXY) – which monitors the greenback versus other major currencies such as the yen and the euro – is already climbing from 91.35 to 92.07 as of Sept. 12, the reason why predictions for the silver is very bullish.