Front-month July is trading 28.185 up 13 cents today. Yesterday’s price action is lifting silver in the positive territory keeping it on the uptrend channel. Well, the trend is your friend. The nature of the bull market is that you have to feed it every day. I would expect silver to trade sideways to higher in the coming weeks. Fed signaled to taper, but no timetable is set. There is a lot of cash on the street to revive the economy. If economic recovery is more robust as we minimize remote work, inflation concerns could be popping up. The housing market way too hot, and commodities are firm as silver prices are heading in $30.00 territory.

From a technical perspective, silver will likely see above $30 before we see a low $20.00  A drop under $27.50 alerts for a near-term bear signal, but any strong sell-off should be rejected.  Trade under $26.90 will trigger sell-off to $26.25-. A close over 29.00 will drive higher prices.

Silver Daily Chart
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Eli Tesfaye

Senior Market Strategist
Eli started his career in the futures and options market while he was in graduate school finishing up his MBA in 2003. Eli specializes in Automatic trading strategies and systematic options trading strategies in futures market. He has been Series 3 license holder since 2005. Eli's is an avid reader, runner, and yoga practitioner.
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