Silver Price Forecast: Silver Waits for NFP and Rates Relief

Daily Forex, this is Christopher Lewis taking a look at the silver market. The silver market has been slightly positive during the trading session through most of the US session, but it is still a bit hesitant to continue to the upside. Ultimately, this is a market that I think will continue to open up the possibility of big moves in the short term as interest rates are just all over the place. Those interest rates being all over the place, of course, has a major influence on silver. There are a lot of concerns now about energy inflation. And adding more fuel to the fire, we have the jobs number coming out on Friday in the United States, which will obviously have an influence on the way bonds behave. So, all things put together, this is a market that I think continues to be very noisy. That being said, it is worth noting that there is a little bit of noise around the $60 level here in the futures market. So, watch that. If we were to bounce from there, then we could open up the possibility of a rally. Again, though, between now and the jobs report tomorrow, I think it's very difficult to get aggressive here. I do like silver longer term, but there's a major headwind in the form of bond rates. They start falling, silver is probably one of the first places I'll be looking to put money to work, perhaps for a run to the 50-day EMA, maybe a longer term buy and hold if it is something that is going to tilt the attitude of the Federal Reserve. We'll just have to wait and see. If we drop down below $60, the next major support level probably closer to $55. >> Brains.