RJO FuturesCast

Daily Futures Market News, Commentary, & Insight

Metals

A Silver Rally is Coming

Posted 06/08/2018 9:58AM CT | Phillip Streible

Silver and the PMG are set to have a big week with the FOMC meeting on Tuesday and Wednesday with a rate hike expected. The last two rate hikes have seen selling come into the announcement followed by a sharp rally in days after. Also, on June 12 is the historical summit between Kim Jung Un and President Trump. I would expect to see silver futures start to track higher given its strong correlation to copper, which is nearing a four year high. The key level of resistance in silver is the 200-day moving average at 16.92/oz. On a closing basis if we see a multiple day close above this level we should be able to see an attack to $17.50/oz as indicated on the July daily chart below.

Silver Jul ’18 Daily Chart

Silver Jul '18 Daily Chart

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Phillip Streible

Senior Market Strategist
Early in his career Phillip began trading his own account as a screen trader focusing on the metals, grains and stock indices. He then became a Series 7 licensed financial consultant with A.G. Edwards. Later, he expanded his trading experience into a Series 3 licensed commodity broker with Investment Analysis Group. Most recently he was a senior market strategist at MF Global before joining RJO Futures in October 2011 as a senior commodities broker. As a senior commodities broker his goal is to show clients how to anticipate, recognize and react to bull and bear market conditions through the use of technical analysis techniques that help them to define risk.
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