Silver Price Technical Analysis: July 15, 2024
Silver Price Technical Analysis: July 15, 2024
Key Points and Takeaways:
- Monthly chart: Silver price confirmed bullish breakout intact, long-term outlook bullish.
- Weekly chart: Strong weekly close above $35.00 confirmed, bullish momentum on track.
- Daily chart: Price consolidates near resistance at $37.00-$38.00 zone.
- 4-Hour chart: RSI dips but remains above 50, short-term buying pressure eases slightly.
Silver Stackers,
Welcome to today’s silver price technical analysis, diving into the silver market on July 15th, 2024. The silver market enters a consolidation phase after a strong upward move in the first half of July. The bulls have successfully pushed prices above the key resistance level of $35.00 and are now testing the next potential hurdle around $37.00-$38.00. 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 in Control
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 achieved a strong weekly close above $35.00 last week. This is a very bullish sign and confirms the continuation of the uptrend on the weekly timeframe. As long as the bulls can hold above this level, the momentum remains positive.
Daily Chart: Bulls Face Resistance, Breakout or Pullback?
The daily chart presents a neutral picture. The price has consolidated near the resistance zone around $37.00-$38.00. This is a normal and healthy development after a strong rally. A confirmed break above this resistance zone would be a very bullish sign and could open the door for a test of even higher levels. Conversely, a sustained move below $36.00 could indicate a potential pullback on the daily timeframe.
4-Hour Chart: Short-Term Buying Pressure Eases
The 4-hour chart offers a cautiously bullish picture. The RSI has dipped slightly but remains above 50, indicating that short-term buying pressure has eased slightly but hasn’t disappeared entirely. A sustained move above 60 on the RSI, coupled with a confirmed break above $38.00 on the daily timeframe, would be a very bullish sign.
Looking Beyond the Charts: Macroeconomic Factors
While technical analysis provides valuable insights, a holistic approach is crucial, especially after reaching new resistance zones:
- Interest Rate Decisions: Pay attention to any upcoming interest rate decisions by major central banks. A dovish stance from central banks could weaken the US dollar and potentially benefit silver prices.
- Inventory Levels: Monitor changes in silver inventory levels. A continued decline in inventories could add further fuel to the current rally.
Stay Informed, Be Patient, 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 $35.00 confirming bullish momentum on the weekly chart, the price consolidating near resistance at $37.00-$38.00 on the daily chart, and the slight easing of short-term buying pressure on the 4-hour chart are all developments to watch closely.
The recent market action underscores the importance of patience in the silver market. While the bulls are currently in control, periods of consolidation are to be expected, especially after strong rallies and as prices approach new resistance zones. Don’t get discouraged by short-term pullbacks if you’re a long-term investor. If you’re a stacker, focus on your stacking goals and view any pullbacks as potential buying opportunities depending on your risk tolerance and overall plan. Remember, the silver market is inherently volatile, and conducting your own research and due diligence is paramount.
