By FXEmpire.com
The silver market popped on the Friday session as the Non-Farm Payroll number disappointed with adding only 69 thousand jobs in the month of May. The silver markets will continue to underperform going forward as the industrial demand for the metal is going to be weak. The silver markets are much less liquid than the gold markets, and as a result this market can breakdown or breakout much quicker than the gold market. The fact that the gold market rose $60 during the session while the silver market only rose 67 cents shows just how much this market will continue to lag the gold markets – all because of that industrial component to silver.
A breakout above the $30 level has us buying though, but the support level at $27 is more than likely to be tested heavily as well, and as a result of that action – we would be aggressive sellers. In the meantime, we are on the sidelines as this looks like a very tight market.
Click here to read Silver Technical Analysis.
Originally posted here
