Silver faces a wall of resistance at the $35.50, a confluence of key levels:
Daily Downward trend-line resistance at the $35.60 level (see above video)
Daily 200 Moving average
Weekly 50 Moving Average
Symmetrical projection of the September-October swing
The only thing helping Silver is the daily squeeze that is preparing to fire (see video) which could push silver past these key levels. However, if this fails, we could see a pullback to the mean averages.
Also noteworthy is the action of Dollar Index. The Dollar Index traditionally has moved in opposite direction to the precious metals, although not always.
A look at the Dollar Index shows that there may be some volatile moves ahead. If the dollar declines (and heads towards its supporting trendline) then we could see some upward pressure on both Silver and Gold.
As a buyer of silver I would be cautious right now until the wall of resistance is breached.
Required Disclaimer - Commodity Futures Trading Commission. Trading futures, stocks, forex and commodities has large potential rewards, but also large potential risk. You must be aware of the risks and be willing to accept them in order to invest in the futures and options markets. Don't trade with money you can't afford to lose. This website is neither a solicitation nor an offer to Buy/Sell futures, stocks, forex, commodtities or options. LeadingTrader and Simpler Markets Ltd is not an investment advisory service and does not make any recommendations to buy or sell any stocks, futures, forex, options or any financial instrument. No representation is being made that any account will or is likely to achieve profits or losses similar to those discussed on this website. The past performance of any trading system or methodology is not necessarily indicative of future results. No representation is being made that the use of this strategy or any system or trading methodology will generate profits.