Silver, as gold, is also at its decision point. Let me show a few charts:
As the chart shows, silver is still in its long term bull market. Presently, it is also at its medium-term support at $18. This is a decision point. The speculators, seeing this situation, are neutral at the moment. But looking at the history we can spot that nearly all the time since 2006 they have beem optimistic about silver - this means they have been long silver all the time. Now they are the least optimistic about silver.
This lack of optimism we can spot at the chart below - the sentiment is standing nearly at zero. This indicates there is too much pessimism so the most probable move for silver is UP (in most cases when this indicator was flashing zero, silver was starting marching up).
As you see, these days will be crucial for precious metals.
No comments:
Post a Comment