David Morgan, publisher of the Morgan Report, shared his latest thoughts on silver, outlining the main factors he sees driving the metal at the moment and what its price potential looks like moving forward in 2024.
He thinks silver is breaking out given that its move above US$30 per ounce meets the criteria outlined in his Morgan Rule.
"Whenever we get a new level ... it must go above that level three days in a row. It can go below the level during the day, but it has to remain above the level OCO — on close only — which is a trading term," he explained.
"And it needs to be on above-average volume. So if you have those things — three days in a row, above-average volume, over a new hurdle — you have about an 80, 85 percent probability that the trend will continue."
In terms of how high the white metal may rise in 2024, Morgan is optimistic, but isn't calling for a dramatic move.
"What do I expect for the rest of 2024? I'm going to be conservative ... I'm going to say I think we'll still be in the US$30s — probably in the mid-US$30s," he said. "I don't really think silver is going to be in the US$40s by the end of the year. People make arguments that it'll be US$50, and it could be. But I'm going to remain conservative."
Watch the interview above for more from Morgan on silver, as well as gold and the overall market.
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Securities Disclosure: I, Charlotte McLeod, hold no direct investment interest in any company mentioned in this article.
Editorial Disclosure: The Investing News Network does not guarantee the accuracy or thoroughness of the information reported in the interviews it conducts. The opinions expressed in these interviews do not reflect the opinions of the Investing News Network and do not constitute investment advice. All readers are encouraged to perform their own due diligence.