Loading ...SLV is nearing cloud support on the daily chart…
SLV really should not drop below the flat bottom of the green cloud on its daily chart. My guess would be that SLV should find support there, although it is possible it can close just below it for a few days. Ideally, at least some of the candle bodies stay within the cloud even if they close below the cloud.
That being said, if there is anything that could crash right through a flat bottomed cloud it would be SLV (it has done it before), so do not take this for gospel by any means. Based on this cloud structure, I would say that SLV should find some footing in the next 2-3 days and then get a slight bounce. Thereafter, I am expecting it to break below the cloud in late March/early April, somewhere in the boxed zone shown in the chart. (These types of cloud transition zones are where price breaks typically occur).
I would love to see silver up $1-2, tomorrow or next week, and be completely wrong about a correction into late April, but I think that is pure fantasy at this point.
I saw rate cut probabilities fluctuate for March meeting between 35%-75% today… it was insane. Gold and Silver really need to start believing that the fed will deliver on a cut… then they will start to price in ahead of the actual cut. Right now we are at 72% chance of a cut for March. I want to see tomorrows odd close around those levels… then we bounce. #theories
I hope you are right. We are due for at least a day or two of relief, but it’s so hard to believe the selling will stop after candlesticks like today. Gold, silver, and even GDX still look fine to me on the weekly charts. It’s the silver miners that have completely crapped the bed–they need to recover at least some of this weeks losses tomorrow to make this week’s candlesticks a little less ominous.