In yesterday’s post on the metals, I discussed two important fundamental developments that were super bullish for gold and silver. Today, the trading action and technical behavior has confirmed, so far, that conclusion.

These developments are leading me to believe my conjecture that the metals have turned and are going to build from here, is correct. We want to see a steady increase for the remainder of this week and through midweek next week, leading to the FED meeting. For silver, watch what happens tomorrow and Friday.

When the bankers are short silver(most months in the past) the week leading into the monthly option expiration for the expiring futures contract, the silver price mostly falls, sometimes sharply. This week looks to be going in the other direction. If silver goes up for the rest of this week it would indicate that the bankers are now long, since tomorrow is the option expiration. If that is how it plays out, the bottom is in and higher prices are coming soon.