Momentum Shift in SilverPosted 07/03/2019 7:35AM CT |
Front month September silver is enjoying a nice ride above the key support of $15.00 and trading around 15.31. The trend is clearly your friend here. With a move and a close above 15.00 key level, the next upside target will be the February 2019 highs of Mid 16.00. The bulls are enjoying comfortable momentum, any pullback would be probably seen as a buying rather than a selling opportunity.
With a potential trade deal between U.S./China looming and Australian rate cut, the dive towards currency depreciation leaves the metals the needed upside lift.
Below is the weekly chart in silver. The market could retrace back to 14.80 and would still hold upside momentum; however, pay close attention to the headlines because any economic data that shows cooling global growth, could derail silver momentum. I prefer to recommend credit spread to approach this current market condition.
Silver Sep ’19 Weekly Chart