Silver concluded the past week’s trading on a positive note. The white metal price rallyied 2% on Friday to close at 32.20.
This move in silver was underpinned by the recovery in gold. Both markets have traded parallel for some time.
However, silver has calmed considerably since its very bullish open to the year, when it was the best performing precious metal. The market has like gold given investors reasons to be more optimistic about renewed gains in the next few weeks after last Friday’s strong close.
The precious metal created a positive chart pattern and sustained a close above 50% of the decline of the 26.27 to 37.58 rally between the end of December and the end of February.
Next week the focus of silver traders is set to be on last week’s high at 33.07. Gains above that level would generate additional bullish interest for a move back towards 34.45.
March has been a bad month for sliver. The last week’s late recovery would be meaningful only if the market sustains 30.00 in the coming few weeks. Failure to achieve that would shift speculators attention to the late December silver price low of around 26.20.
