Silver Price Technical Analysis: June 12, 2024
Silver Price Technical Analysis: June 12, 2024
Key Points and Takeaways:
- Monthly chart: The silver price confirmed bullish breakout remains intact; long-term outlook positive.
- Weekly chart: Bulls hold above $30.00, but face resistance at $32.00.
- Daily chart: Price finds support near $31.00; potential for renewed upward momentum.
- 4-Hour chart: RSI attempts to climb back above 50, indicating some short-term buying pressure.
Silver Stackers,
Welcome to today’s silver price technical analysis, examining the silver market on June 12th, 2024. This week has been a volatile ride for silver, with the bulls and bears engaged in a tug-of-war at the crucial $32.00 resistance level. The price action has been choppy, but the bulls have managed to hold above key support. We’ll analyze various timeframes to understand how this recent price action impacts the short-term and long-term outlook. Remember, technical analysis is just one tool, and should not be used as sole investment advice.
Monthly Chart: Uptrend Still on Track
The monthly chart continues to offer a bullish perspective for long-term investors. The confirmed bullish breakout above the horizontal channel established since November 2023 remains in play. The strong May close above $30.00 provides a stronger confirmation of the long-term uptrend for silver.
Weekly Chart: Bulls Need to Reclaim $32.00
The weekly chart presents a cautiously optimistic view for the bulls. They are currently holding above the key support level of $30.00. However, they were unable to decisively reclaim the resistance at $32.00 this week. A decisive break and close above $32.00 on the weekly timeframe would be a very bullish sign. Conversely, a sustained move below $30.00 could indicate a deeper pullback on the weekly timeframe.
Daily Chart: Finding Support and Building Momentum?
The daily chart presents a mixed picture. The price initially dipped this week but found support near $31.00. This resilience is a positive development for the bulls. Additionally, there are signs of bulls attempting to build upward momentum again. A clean break and hold above $32.00 would be a very bullish sign and could open the door for a test of the $33.00 level again.
4-Hour Chart: RSI Hints at Short-Term Buying Pressure
The 4-hour chart offers a cautiously optimistic perspective. The RSI is currently attempting to climb back above 50, indicating a potential return of some buying pressure in the short term. A sustained move above 50 on the RSI, coupled with a confirmed break above $32.00 on the daily timeframe, would be a very bullish sign.
Looking Beyond the Charts: Await FOMC Meeting Outcome
While technical analysis provides valuable insights, a holistic approach is crucial:
- FOMC Meeting (Today): The highly anticipated Federal Open Market Committee (FOMC) meeting is happening today. The outcome of this meeting, particularly regarding any interest rate hikes or changes in monetary policy, could significantly impact the US dollar and indirectly influence silver prices. Stay tuned for post-meeting analysis to understand the potential implications for silver.
- Geopolitical Developments: Ongoing geopolitical tensions continue to be monitored for any major developments that could impact investor sentiment and precious metal prices.
Stay Informed, Stay Flexible, and Happy Stacking!
By understanding technical analysis, fundamental factors, and market sentiment, you can position yourself to potentially benefit from the silver market’s opportunities. The confirmed bullish breakout on the monthly timeframe, the bulls holding above $30.00 on the weekly chart, the price finding support and potentially building momentum on the daily chart, and the short-term buying pressure hints on the 4-hour chart are all developments to watch closely. The outcome of the FOMC meeting today could be a significant driver for the price in the near future.
The silver market can be volatile, so flexibility is key. While the long-term outlook for silver remains positive, short-term price fluctuations are to be expected. If you’re a long-term stacker, focus on your stacking goals and maintain a long-term perspective. Remember, the silver market is inherently volatile, and conducting your own research and due diligence is paramount.
