Loading ...Silver MA Fractal in play?
I posted this monthly Silver chart several months ago, which removes price and only shows the interplay between the 3-mo and 13-mo MAs (which are both fib #s btw). By all appearances the larger formation has continued to conform to the smaller highlighted formation, right down to the breakout formation in the Slow Stochastic indicator featured below price.
If this fractal formation continues according to form, it will be further confirmation that human nature does not change, and that we can soon expect a bullish MA crossover and upward price explosion to follow:
Do you think 40$ is in the cards once we reach 2000+ level in gold or too ambitious? I believe it should be possible.
Thanks RTV. Interesting stuff.
Good chart, thanks.
Alex –
Certainly, gold is a driver of silver – but the chart speaks for itself, independent of gold. Note the smaller formation, where once the final (#6) breakout occurred, that the shorter-term (green) MA broke out well above the red-dotted line, or above Peak #1. Bear in mind these are moving averages – not price. Therefore, if the larger formation plays out similarly, then yes – the 2011 high of $49 will be taken out and should later serve as a general support level.
Great chart RTV.