Silver Continues the Surge Today, After Opening With A Massive Bullish Gap

Silver broke above $ 30 earlier today, as the long squeeze continues

Written by: Skerdian Meta • Monday, February 1, 2021 • 1 min read

• Last updated: Monday, February 1, 2021

Traditional safe havens such as Gold and Silver have been on a bearish trend since August last year, as markets turned into cryptocurrencies to find safety in these times of trouble. But, we saw a strong bullish reversal in Silver on Thursday last week, which continued on Friday. The price opened with a 150 pip gap higher last night, while the bullish momentum ic continuing today.

SILVER has gained around 15% since Thursday, when posts began circulating on Reddit urging retail investors to buy silver mining stocks and iShares Silver Trust, an exchange traded fund (ETF) backed by physical silver bars, in a GameStop-style squeeze.

Buying an ETF can boost silver prices by increasing the number of shares in the fund and making its operator buy more metal to back them. Silver was finding support at the 50 SMA (yellow) last week on the daily chart, but bounced after the Reddit comments and it pierced above the big round level at $ 30. So, Silver is the new GameStop now and we will try to buy the pullbacks lower.

Check out our free forex signals
Follow the top economic events on FX Leaders economic calendar
Trade better, discover more Forex Trading Strategies
Open a FREE Trading Account
Read our latest reviews on: Avatrade, Exness, HFM and XM

ABOUT THE AUTHOR See More

Skerdian Meta

Lead Analyst

Skerdian Meta Lead Analyst. Skerdian is a professional Forex trader and a market analyst. He has been actively engaged in market analysis for the past 11 years. Before becoming our head analyst, Skerdian served as a trader and market analyst in Saxo Bank's local branch, Aksioner. Skerdian specialized in experimenting with developing models and hands-on trading. Skerdian has a masters degree in finance and investment.