Silver Price Analysis for August 2024: A Thorough Test Of The Line In The Sand Level

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August 2024 either offers an epic buy-the-dip opportunity, the last one before the big rally, or it will be a month of slump.

RELATED – When Will Silver Reach $50 an Ounce?

Since the market likes to play games, we could also see a failed breakdown below the decisive level of USD 28.80/oz. A failed failure would lead to recovery after 3, 5, 8 or 13 days.

Silver Price Chart – August 2024

Silver has seen a steep decline in recent days.

This should come as no surprise as we have been warning for weeks that leading indicators for precious metals are in a ‘red hot’ state (source: premium research notes in our gold and silver market reports).

That said, if we look at the short term and focus only on the silver price chart (excluding the key leading indicators), we see a steep drop to silver’s breakout level.

Our 2024 silver price forecast of USD34.70/oz (which is the same price target as our 2023 silver forecast) has been pushed back again, even though silver came very, very close to our target on May 20, 2024.

silver price analysis August 2024silver price analysis August 2024

Graphic – Trading view

Silver price – catalyst in August 2024

What are the catalysts for silver (and gold) in August 2024?

RELATED – Will Silver Ever Reach $100 an Ounce?

There are many catalysts, and they will cause large swings in the price of silver. The only question is in which direction(s): one direction, two directions, multiple swings up and down?

Catalysts for August 2024:

  • A potentially historic meeting in which the USD Fed will make a rate cut decision, or share if/when rate cuts are expected.
  • The last month of the three-month silver cycle.
  • The USD is trading at the critical level of 104.01 points, ready to move in any direction.
  • A volatility window on the markets according to our timeline analysis.
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In other words, August 2024 will be a defining month for silver investors.

Silver price chart – decisive dates

In this article, published on our Linkedin account, The most insightful Silver Chart analysis you will ever readwe have calculated two dates that could be decisive for silver investors:

  1. 38.2% of 400 days: This corresponds to approximately 153 days. Based on this, we estimate that consolidation around the breakout level of USD 28.88/oz could continue until November 8, 2024. Around this date, silver could begin its next bullish phase and potentially reach $50. This date is represented by the first yellow vertical line on the map.
  2. 50% of 400 days: This results in 200 days, which brings us to January 21, 2025. This is another critical date where we could see significant movements in the price of silver. This date is represented by the second yellow vertical line on the map.

By applying the Fibonacci principles to both price and time we can provide a more detailed analysis of the market. This approach differentiates our methodology and provides deeper insights into silver’s potential future movements.

We encourage you to read this article and follow our premium gold and silver market reports as we track leading indicators and gold/silver price charts towards those dates.

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