Looking ahead, the quickly expanding photovoltaic panel or solar industry could continue to drive silver demand. Installations and investment in solar panels, which incorporate silver for its electrical conductivity, are at record levels, reports Henry Sanderson for the Financial Times.
According to Thompson Reuters GFMS, the solar industry’s silver demand increased 23% last year, the second consecutive year of increases.
“Now it’s facing a serious breakout test, as five different resistance lines all meet at one price point. If weakness starts happening, it could be dangerous for the silver risk-on trade,” adds Investing.com.
Silver prices touched two-year highs earlier this month. Traders looking to profit from silvers downside can consider the ProShares UltraShort Silver ETF (NYSEArca: ZSL), which is a double-leveraged product.
For more information on the silver market, visit our silver category.
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