Outlook of Silver Going into 2016
An overview of the price of silver and what to look for in 2016. Silver is currently maintaining its strength and looks to keep that up after the news the Fed released last week.
The big news of course was what the Fed did last week. As expected, a 25 basis point hike came and went.
Despite considerable weakness late the previous week and then on Monday, Dec. 14, silver actually handily outperformed gold. It's leading to an interesting outlook for the silver price heading into 2016, and making it a must-watch precious metal for your portfolio…
Recent Silver Price Moves
Just after 8 a.m., silver shot up from $13.80 to quickly reach the $14.50 level (Kitco). It continued to meander sideways before climbing higher.
Silver then reversed, dropping quickly to $14.10 just before the Fed announced its rate decision. As those details were being digested, the silver price moved sideways again, but soon ran up once more, this time peaking at $14.30 momentarily.
And like gold, silver found renewed strength on Friday, shooting up from $13.80 just after 8 a.m. to $14.15 by 10 a.m. It then moved essentially sideways for the remainder of the day to close at $14.08.
The important part of this price action was silver's ability to once again regain and close above $14. Despite the recent closes below $14, silver is, on a technical basis, holding up pretty well.
This week it has remained above the $14 per ounce mark, trading around $14.28 today.