Silver: Weekly Chart Analysis & Notes
First, I want to say that while I am a shorter term trader in most regards I consider silver a long term wealth building asset. I agree with the point many others have made: silver is the most undervalued asset in the world. So with that said, you can of course trade paper silver and options on SLV but this post is directed at physical investment for the long term.
Here is a weekly chart of silver, with the most recent close being Thursday the 8th.
A few thoughts on the price action here, especially given smack down today with Comey's testimony and the UK General Elections.
The triangle formation in blue, continues to leave traders on either side of the market without an edge. Given this formation, I would have no direction bias over the next few weeks.
The green support line at $15.70 marks the beginning of a very large support zone. If silver trades at this level or below it, take that as a gift to add to any physical holding you may have.
Lastly, note the convergence of the triangle formation and its apex that aligns with the start of September. I expect a break before then, but we could chop in a small range through summer.
I would rethink this view on a break of either blue trend line.
TN Trader
I am a strong believer on holding a hard asset myself. Thanks for the info.
Do you agree that we have a high possibility of chopping it out this summer? Of course, that is given we don't have any major surprises!
Thanks for the resteem.