While many people have started to turn bullish on $SLV, stating it's undervalued (which it very well may be), looking at the chart tells a different story. If you zoom out, SLV looks to be correcting still.
I see three possibilities in price action from here, and all lead to lower prices in $SLV.
While there may be a squeeze higher in the short term, I can't...
Short Term Bounce Back, due to oversold Technicals on Silver possible.
We have divergences on the RSI and EFI (Elders Force Index)
We have found support at the 0.5Fib from Covid Low to High
Silver got decimated in the past weeks, so might be due for a bounce.
No investment advice.
I enter on a green candle based on Elder Impulse, will buy a two times...
Silver comes right back to where it broke out in 2010.
The 0 to 5 count could be complete, exactly where the Lower Medianline (L-MLH). is catching price.
Now we don't just jump the gun.
We wait for a signal, a change in behavior.
Put your observation hat on.
For a few weeks now I have been watching the key Support of 19.42 on AMEX:SLV which corresponds to 21.00 on Silver Futures COMEX:SI1! :
This is a long term Weekly Timeframe support established by the COVID Low through February 2021 High. I made a video about this High then because around the financial media there was a meme encouraging retail traders to BUY...
Price is moving up from the 9 month support level. Two bear traps in May and June and now price is breaking out.
Formulate a plan with solid money management. What if it doesn't work out? How will you respond?
Define how much you're willing to bet. Anything can happen (Mark Douglas)
Risk: 180 bps
Profit Protection: 3-Day Trailing Stop Rule (Peter Brandt)
Today a member of my social media pointed out that Silver may be setting up for a long trade. I like the price action on the Daily where Silver instruments (futures and SLV) have broken the 6 month 50% Retracement Resistance at 23 and confirmed the break by holding above it for the last few days. This sets up a breakout trade to retest the recent major highs...
Possible stop under D or 19.01.
Right now there is a piercing candle which is bullish. Price is trying to close at least half way up inside the prior red candle which is apposite of the Bearish Dark Cloud Cover pattern. This could be an engulfing by close and remains to be seen.
Some would call this harmonic pattern an Alternative Bat as price landed at the...
Silver has been relatively tracking the S&P however there is a strong divergence now as money pours to stocks and silver is weak. On the closing basis, SLV failed a three day test of the low and is now destined for a retracement down to test the 3 week test of the low in a week or two. It's good to have some puts in the bank as this could get really ugly. ...
Still sticking with my original EW counting.
Not sure if the corrective waves is done yet.
It can possibly go down to 15 before it hits TP1 because silver and gold tends to dramatically decrease during recession.
Still in the long run $SLV might have a lot of potential to go higher than ath.
(Elliott Wave Beginner)
1. 5 impulse waves completed (2020)
2. Supporting 0.618 ($20) for over 1 year
3. Volume increased over the past 2 years
4. The massive support volume below $16
TP: $43
SL: $15
$SLV dipping into the most historically significant area of supply/demand; trading below this area represents a break in market structure. Further, I'm macro bullish on commodities as I anticipate a hard landing from the Fed. $SLV worth a bid at these levels.
GLD and SLV tend to do well during these chaotic times, with inflation sky-high, Russian attacks, and crypto still at an early stage. At the moment, I believe investing in GLD and SLV is a hedge against risk and has potential upside growth until inflation drops.
Since the Easter holiday, SLV has broken the downtrend line and found a bottom around $22.37. It's...
