Silver Price Technical Analysis: June 21, 2024
Silver Price Technical Analysis: June 21, 2024
Key Points and Takeaways:
- Monthly chart: Silver price confirmed bullish breakout remains intact; long-term outlook positive.
- Weekly chart: Bulls hold above $32.00 support, weekly close crucial.
- Daily chart: Price attempts to reclaim momentum after a pullback.
- 4-Hour chart: RSI attempts to climb back above 50, indicating short-term buying pressure.
Silver Stackers,
Welcome to today’s silver price technical analysis, diving into the silver market on June 21st, 2024. The silver market has seen some volatility this week, with the bulls and bears engaged in a tug-of-war around the $33.00 resistance level. However, the bulls managed to hold above key support and close the week on a positive note. 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: Focus on the Weekly Close
The weekly chart presents a cautiously optimistic picture. The bulls held above the key $32.00 support level throughout the week. The weekly close will be a significant indicator for the short-term direction. A decisive close above $33.00 on the weekly timeframe would be a very bullish sign and could open the door for a test of even higher levels. Conversely, a close below $32.00 could indicate a deeper pullback on the weekly timeframe.
Daily Chart: Bulls Aim for Reclaim of Momentum
The daily chart presents a mixed picture. The price initially dipped after encountering resistance at $33.00 but has found support near $32.00. It’s currently attempting to reclaim momentum. A clean break and hold above $33.00 would be a very bullish sign for the bulls on the daily timeframe.
4-Hour Chart: RSI Hints at Potential Short-Term Buying Pressure
The 4-hour chart offers a cautiously optimistic perspective. The RSI is currently attempting to climb back above 50, indicating potential short-term buying pressure. A sustained move above 50 on the RSI, coupled with a confirmed break above $33.00 on the daily timeframe, would be a very bullish sign.
Looking Beyond the Charts: Focus on Market Reaction
While technical analysis provides valuable insights, a holistic approach is crucial, especially after a volatile week:
- Market Reaction to Macroeconomic Data: Pay close attention to the market’s reaction to this week’s macroeconomic data releases, such as retail sales, consumer confidence, and inflation data. How these figures impact the US dollar and silver prices will be important to watch.
- Central Bank Policy Updates: Stay informed about any potential policy updates from major central banks, as these can influence the broader market sentiment and impact precious metal prices.
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 bulls holding above $32.00 and the weekly close being crucial on the weekly chart, the price attempting to reclaim momentum on the daily chart, and the potential short-term buying pressure on the 4-hour chart are all developments to watch closely.
The recent market volatility is a reminder of the dynamic nature of the silver market. The long-term outlook for silver remains positive, but short-term fluctuations are to be expected, especially during periods of price discovery around resistance zones. Be patient and avoid making impulsive decisions based on short-term movements. 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.
