Loading ...Silver Sliver of hope…
Both gold & silver have retraced 50% of the rally off the July lows and are now deeply in oversold territory on various indicators, some of which are beginning to show signs of positive divergence.
Notwithstanding the potential for a rally this week as the Chinese return from a week of holiday, ironically named “Golden Week”, is the potential (blue) channel support shown below in the daily chart for Silver. Please note that “the bottom” for Silver from which the bottom rail of the channel is drawn, is shown as $15.14, which is the price provided by the Dec. futures contract for $Silver:
Actually, Golden Week is this coming week, so to the extent that it makes a difference, if there’s weakness due to lack of Chinese buying it will be this coming week.
http://www.zerohedge.com/sites/default/files/images/user3303/imageroot/2017/09/23/20170927_golden.jpg
Yeah, I know. I saw the article, that’s how I found out about Golden Week. And the graphic definitely suggests that it’s over as of Friday, but a careful read of the text shows it’s next week. I confirmed by looking it up –
https://www.timeanddate.com/holidays/china/
“are now deeply in oversold territory on various indicators”
Not on the indicators I pay attention to.
In fact, most of the miners were hitting OB extremes in August, and on my charts, have only STARTED their declines toward an OS condition that I don’t expect for several more months.
S/T and I/T oversold? Sure. A bounce? Sure.
Good luck to y’all!
Pedro,
You are expecting further decline and for several months? Till december/january?
first of all – who said anything about mining stocks?
second – i don’t seem to recall seeing any charts (with or without indicators) from you lately…
lol! talk is cheap. i’m not impressed.