Silver Price Technical Analysis: June 25, 2024
Silver Price Technical Analysis: June 25, 2024
Key Points and Takeaways:
- Monthly chart: Silver price confirmed bullish breakout intact, but needs follow-through above $33.00.
- Weekly chart: Bears in control after weekly close below $33.00.
- Daily chart: Price tests support at $32.00, crucial level to hold for bulls.
- 4-Hour chart: RSI attempts to recover, short-term outlook uncertain.
Silver Stackers,
Welcome to today’s silver price technical analysis, diving into the silver market on June 25th, 2024. The silver market continues to be a battleground between the bulls and bears this week. After failing to conquer the resistance level of $33.00, the price has pulled back and is currently testing support at $32.00. 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 Play, But Needs Confirmation
The monthly chart continues to offer a potentially bullish perspective for long-term investors. The confirmed bullish breakout above the horizontal channel established since November 2023 remains in play. However, for the long-term uptrend to gain further confirmation, silver needs a sustained move above $33.00 and a strong monthly close at that level.
Weekly Chart: Bears Take Control
The weekly chart presents a bearish picture. The bulls failed to reclaim the key $33.00 resistance level and closed the week below it. This is a significant development and suggests that the bears are now in control in the short-term. If the price continues to fall on the weekly timeframe, it could lead to a test of lower support levels.
Daily Chart: Bulls Need to Defend $32.00
The daily chart presents a critical picture. The price is currently testing support at $32.00. If the bulls can hold this level and potentially reclaim some lost ground, it could signal a potential short-term bounce. Conversely, a break below $32.00 on the daily timeframe could lead to a deeper pullback.
4-Hour Chart: RSI Attempts Recovery, But Outlook Uncertain
The 4-hour chart offers an uncertain picture. The RSI has dipped below 50 but is currently attempting to recover. This suggests that short-term buying pressure may be returning, but it’s too early to say definitively. A sustained move above 50 on the RSI, coupled with a hold above $32.00 on the daily timeframe, would be a positive sign for the bulls.
Looking Beyond the Charts: Focus on Upcoming Events
While technical analysis provides valuable insights, a holistic approach is crucial, especially after a week with a significant shift in momentum:
- Upcoming Economic Data: Pay attention to the upcoming releases of economic data, such as manufacturing PMI or employment figures. This data can impact the US dollar and silver prices.
- Inventory Levels: Monitor changes in silver inventory levels. Rising inventories can put downward pressure on prices, while declining inventories can be a bullish sign.
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 (needs confirmation above $33.00) on the monthly timeframe, the bears taking control after the weekly close below $33.00 on the weekly chart, the bulls needing to defend $32.00 on the daily chart, and the uncertain short-term outlook on the 4-hour chart are all developments to watch closely.
The recent price action highlights the importance of adaptability in the silver market. While the long-term outlook for silver remains positive, short-term fluctuations are to be expected, especially during periods of consolidation or trend changes. Be prepared to adjust your strategy based on market developments. 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.
