Silver Price Technical Analysis: July 9, 2024
Silver Price Technical Analysis: July 9, 2024
Key Points and Takeaways:
- Monthly chart: Silver price confirmed bullish breakout intact, long-term outlook bullish.
- Weekly close above $33.00 crucial for bullish momentum on the weekly chart.
- Daily chart: Price encounters resistance at $35.00 again, potential breakout or pullback.
- 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 9th, 2024. The silver market faces a test as the bulls once again encounter resistance at the psychologically important level of $35.00. This level has proven to be a hurdle in the past week. 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: Long-Term Uptrend Still Valid
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: Crucial Weekly Close Nears
The weekly chart presents a cautiously bullish picture. The bulls have managed to hold above $33.00 for the past two weeks. However, the weekly close is fast approaching, and a close above $33.00 is crucial to maintain bullish momentum on the weekly timeframe. Conversely, a close below $33.00 could indicate a potential pullback on the weekly chart.
Daily Chart: Bulls Face Resistance, Breakout or Pullback?
The daily chart presents a neutral picture. The price has once again encountered resistance at $35.00. A confirmed break above this level would be a very bullish sign and could open the door for a test of even higher levels. However, a sustained move below $33.50 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 $35.00 on the daily timeframe, would be a very bullish sign.
Looking Beyond the Charts: Stay Informed
While technical analysis provides valuable insights, a holistic approach is crucial, especially during periods of key price levels being tested:
- Geopolitical Events: Stay informed about ongoing geopolitical developments that could impact investor sentiment and precious metal prices. Geopolitical tensions can sometimes lead to increased demand for safe-haven assets like silver.
- Economic Data Releases: Pay attention to the release of any important economic data this week. This data can impact investor sentiment towards precious metals like silver.
Stay Informed, Adapt, 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 need for a strong weekly close above $33.00 on the weekly chart, the price encountering resistance at $35.00 on the daily chart with a potential breakout or pullback in sight, and the 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 adaptability in the silver market. The bulls are facing a key test at resistance, and the outcome will determine the short-term direction. Be prepared to adjust your strategy based on market developments. If you’re a long-term stacker, focus on your stacking goals and view this as a potential opportunity to add to your holdings 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.
