Silver Plunges Again on Friday

NEW YORK (April 4) The silver market has seen a lot of early selling pressures on Friday, as the market continues to scramble to protect themselves from the tariff wars and the potential global recession.

Silver Markets Technical Analysis

The silver market initially tried to rally a bit but then dropped towards the 200 day EMA. The question now is whether or not it will hold. This is just below the $31 level and quite frankly, the absolute destruction and dismantling of the silver market over the last couple of days has been quite breathtaking to watch. So, with that being said, I certainly wouldn’t be a buyer of silver. I still don’t know if I want to short it.

I think chasing it all the way down here is probably a great way to lose money as well. So, with this being the case, I think you have a situation where traders will probably look for a couple of days of stability before trying to get long. If we close below the 200 day EMA, technically, that kicks off a potential downtrend and it could drop silver down to $28.75. We’ll just have to wait and see.

The world is basically chaotic at the moment when it comes to trading, and the best trade often is to either trade in a very minuscule position or don’t trade at all. Silver is definitely in that category right now as the volatility has picked up so drastically. Silver, when it comes to precious metals, falls much quicker than gold. So, when precious metals do sell off, it’s generally silver I short, not gold. On the way up, I generally buy gold, although silver can give you better returns because of the volatility, it’s also all over the place most of the time.

FXEmpire