Some commodities market observers believe silver has more upside ahead of it and that the recent pop for the white metal is a sign of a potentially epic rally. That sentiment could be bolstered by the struggling dollar. While the dollar could rise in unison with interest rates, the pace of rate hikes in 2018 is expected to be gradual, as it was this year.
“If silver falls below $16 (and stays below 16 for at least 3 consecutive weeks) it is bearish,” according to ETF Daily News. “Between $16 and $21 silver is neutral. Moreover, $14 is a major price level as it marks the lows of the last 9 years. If silver sets a major double bottom between 14 and 15 in 2018 then (only then) will we become very bullish for the long term.”
Investors can tap silver equities with the Global X Silvers Miners ETF (NYSEArca: SIL) and related ETFs. SIL, the largest silver miner-related ETF, tries to mirror the Solactive Global Silver Miners Total Return Index, which is also comprised of global silver miners.
For more information on the silver market, visit our silver category.