Loading ...Silver / Gold / HUI – Bullish Case
For Silver, resistance becomes support. Also, note an often overlooked fib number, the (blue) 89-day MA, which may end up providing support for a second time.
Same with Gold – resistance becomes support.
For $HUI, nothing’s changed since my recent post – where I speculated that support will be provided by a perfectly symmetrical right shoulder formation within a new H&S pattern presently under construction…
Just to clarify – the bullish case here is that “the bottom is in” for this pullback, not that further consolidation will not occur, especially in the miners, which have moved way out ahead of the metals. Notwithstanding a healthy correction – that is what they should be doing, and should continue to do, since they are still trading as if Gold was priced BELOW $500 oz!
Like !
A LOT !
Simple and to the point !
Nice work…
Thanks, they are marching forward again.
Here is the problem with this concept is that the silvers historically take a much bigger hit than they have during these corrections. Silver lead on the way up and will lead on the way down. A 3 week correction of this magnitude has no precedent. I see lower prices ahead and am prepared for it.
Watching GSR.
Plunger – Tx for the comments.
Silver could certainly go lower and I have some dry powder handy if it does. Please correct me if I’m wrong, but I understand you consider this week 3 of a correction, starting with a breakdown of support. However, I see Silver peaking the first week of July, so I consider this week 8 of an ongoing “a-b-c” correction…
I would appreciate any further thoughts you may have on the matter. Tx again!
RTV
http://stockcharts.com/h-sc/ui?s=%24SILVER&p=W&yr=1&mn=0&dy=0&id=p59944744430&a=475300796