Silver could get another boost if gold prices start rebounding in earnest. Indian demand is vital for gold because the country is the second-largest buyer of the yellow metal behind China. India, one of the world’s largest gold consumers, could be set to lower its import tax on bullion, which could be major catalyst for gold prices.

Still, emerging market demand for gold has not picked up yet. For instance, China has shown little demand, with the Shanghai Gold Exchange seeing little growth in volume.

Even if safe-haven demand for hard assets abates, silver exchange traded funds could continue to find support out of the industrial sector as the precious metal is a major component in many manufactured products.

For instance, silver used in the photovoltaic panel industry is growing and could reach record levels in 2018, Maxwell Gold, Director of Investment Strategy for ETF Securities, said in a note.

“Over the past two years, Silver could be creating a long-term bottoming pattern (Inverse Head & Shoulders) pattern. For the read to be correct, the first thing Silver needs to accomplish is break above 9-month falling channel at (1). If Silver can accomplish a 9-month breakout, the next resistance test Silver would face, is the potential neckline, that comes into play around the $19 zone,” according to ETF Daily News.

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