The December silver contract saw a recovery last week off the $23 support level but was unable to continue that this week. Although the market has held at resistance here, it has been unable to push through 24.30 and continue the trend higher. Weakness in the US dollar should be providing support as it did last week but the market seemed to care less about the dollar’s continued slide lower. The silver market is awaiting Friday’s nonfarm payrolls where a favorable number would bring tapering talks back in center focus for the Fed. The bears still look to be in control, and it looks like choppy trade will continue in the near term with last week’s rally not being significant enough to reverse the trend and push the market through the key $24 level. A break of Tuesday’s low of $23.83 would push the market back down to support around $23. However, if trade can push the market above $24.30 the market could see a move higher to $24.80 and then $25.00 as the next areas of resistance. Back and forth trad looks to continue until some fundamental news can give silver the push it needs to extend a move in one direction.

Silver Dec ’21 Daily Chart
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Tyler Herrmann

Senior Market Strategist
Tyler attended Kansas State University where he majored in Agricultural Economics. He started his career in the futures industry with an IB in North East Kansas where he worked with farmers and cattleman to hedge their risk in the market and protect profits with a variety of futures and options strategies. Most recently Tyler has joined RJO Futures as a market strategist.
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