Silver Price Technical Analysis: July 10, 2024
Silver Price Technical Analysis: July 10, 2024
Key Points and Takeaways:
- Monthly chart: Silver price confirmed bullish breakout intact, long-term outlook bullish.
- Weekly chart: Strong weekly close above $33.00 confirms bullish momentum.
- Daily chart: Bulls decisively break above $35.00 resistance, targeting higher levels.
- 4-Hour chart: RSI surges above 60, short-term buying pressure intensifies.
Silver Stackers,
Welcome to today’s silver price technical analysis, examining the silver market on July 10th, 2024. In a bullish breakout, the silver market decisively surpassed the key resistance level of $35.00. This is a significant development that could pave the way for further upward movement in the coming days and weeks. 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. This is a significant development and suggests a potential long-term uptrend for silver.
Weekly Chart: Bullish Momentum Confirmed
The weekly chart presents a strongly bullish picture. The bulls not only held above $33.00 for the past two weeks, but they also managed to achieve a strong weekly close above this level. This is a very bullish sign and confirms the continuation of the uptrend on the weekly timeframe.
Daily Chart: Bulls Charge Higher After Breakout
The daily chart presents a bullish picture. The bulls finally managed to decisively break above the resistance level of $35.00. This is a significant technical development and could open the door for a test of even higher levels in the coming days. The next potential resistance zone could be around $37.00-$38.00. However, a sustained move below $34.50 could indicate a short-term pullback.
4-Hour Chart: Short-Term Buying Pressure Intensifies
The 4-hour chart offers a very bullish picture. The RSI has surged above 60, indicating that short-term buying pressure has intensified considerably. This is a positive sign for the bulls and suggests that they are in control in the near term. A sustained move above 70 on the RSI could indicate overbought conditions, but this wouldn’t necessarily be a bearish signal in the current bullish trend.
Looking Beyond the Charts: Potential Tailwinds
While technical analysis provides valuable insights, a holistic approach is crucial, especially after a significant breakout:
- US Dollar Strength: Monitor the US dollar’s strength. A weakening US dollar can often benefit silver prices, as it makes silver cheaper for investors holding other currencies.
- Industrial Demand: Keep an eye on news regarding industrial demand for silver. An increase in industrial demand can put additional upward pressure on silver prices.
Stay Informed, Manage Risk, 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 strong weekly close above $33.00 confirming bullish momentum on the weekly chart, the bulls decisively breaking above $35.00 resistance on the daily chart with higher levels in sight, and the intensification of short-term buying pressure on the 4-hour chart are all developments to watch closely.
The recent breakout highlights the importance of risk management. While the short-term outlook for silver appears bullish, there could still be periods of volatility. Make sure to use stop-loss orders to protect your capital and avoid making emotional decisions based on short-term movements. If you’re a long-term stacker, this breakout is a positive development, and you can focus on accumulating silver according to your stacking plan. Remember, the silver market is inherently volatile, and conducting your own research and due diligence is paramount.
