• 751 days Will The ECB Continue To Hike Rates?
  • 751 days Forbes: Aramco Remains Largest Company In The Middle East
  • 753 days Caltech Scientists Succesfully Beam Back Solar Power From Space
  • 1,153 days Could Crypto Overtake Traditional Investment?
  • 1,157 days Americans Still Quitting Jobs At Record Pace
  • 1,159 days FinTech Startups Tapping VC Money for ‘Immigrant Banking’
  • 1,162 days Is The Dollar Too Strong?
  • 1,163 days Big Tech Disappoints Investors on Earnings Calls
  • 1,164 days Fear And Celebration On Twitter as Musk Takes The Reins
  • 1,165 days China Is Quietly Trying To Distance Itself From Russia
  • 1,166 days Tech and Internet Giants’ Earnings In Focus After Netflix’s Stinker
  • 1,170 days Crypto Investors Won Big In 2021
  • 1,170 days The ‘Metaverse’ Economy Could be Worth $13 Trillion By 2030
  • 1,171 days Food Prices Are Skyrocketing As Putin’s War Persists
  • 1,173 days Pentagon Resignations Illustrate Our ‘Commercial’ Defense Dilemma
  • 1,173 days US Banks Shrug off Nearly $15 Billion In Russian Write-Offs
  • 1,177 days Cannabis Stocks in Holding Pattern Despite Positive Momentum
  • 1,177 days Is Musk A Bastion Of Free Speech Or Will His Absolutist Stance Backfire?
  • 1,178 days Two ETFs That Could Hedge Against Extreme Market Volatility
  • 1,180 days Are NFTs About To Take Over Gaming?
Is The Bull Market On Its Last Legs?

Is The Bull Market On Its Last Legs?

This aging bull market may…

The Problem With Modern Monetary Theory

The Problem With Modern Monetary Theory

Modern monetary theory has been…

  1. Home
  2. Markets
  3. Other

Silver Market Update

Originally published November 8th, 2006

Silver has broken out of its large triangular consolidation to commence a new uptrend that should take it comfortably to new highs. The breakout is very obvious on weekly charts, which were included in the THIS IS IT article at the weekend. On the 1-year daily chart we can see this clear breakout and how the triangular consolidation, which, as is customary, brought the price back to the vicinity of the 200-day moving average, has completely unwound the overbought condition that had earlier existed. With the MACD indicator having risen up through the zero line, we are now in position for the advance to really get underway. It is worth noting here that although silver has broken out of the triangle, there is considerable resistance in this general area, so progress may at first be hesitant and punctuated by reactions, such as that occurring today. The minimum target for the advance is the $18 - $19 area.

Silver is viewed as being stronger than gold. This is because its triangle is more upwardly skewed, and because its 50-day moving average did not drop back below its 200-day, as was the case with gold - a sign that silver is stronger.

In the unlikely event that the pattern aborts and silver breaks down, the point at which a general sell signal would be generated would be a break below the apex or nose of the triangle, i.e. a break below $11.30 - $11.50.

 

Back to homepage

Leave a comment

Leave a comment