I have stated my position for a few months now that I think silver won’t breakout until late 2021 or early 2022.\u00a0 The reason is because in the last bull market, silver needed to tag its rising 100 WMA before the next leg up could begin, as can be seen in the below chart.<\/p>\n
What is frustrating for anyone long silver, is that it tends to do nothing for long stretches before it explodes higher.\u00a0 As you can see in the\u00a0 below chart, the last silver bull run could be broken down into just four price spikes over a 9 year period.\u00a0 Each and every one of them was preceded by a test of the 100 WMA.<\/p>\n
If silver were to just go sideways from here, the rising 100 WMA won’t meet price until the spring of 2022.\u00a0 Of course price could drop to meet the rising 100 WMA before then too.<\/p>\n
Does history have to repeat?\u00a0 Absolutely not.\u00a0 But it should at least temper expectations IMO, especially if you are using leverage or need the money in the short run.\u00a0 (It should be noted that at least some silver miners, like PAAS, exhibited the same behavior with respect to the 100 WMA.)<\/p>\n
I have stated my position for a few months now that I think silver won’t breakout until late 2021 or early 2022.\u00a0 The reason is because in the last bull market, silver needed to tag its rising 100 WMA before … Continue reading ![\"\"](\"https:\/\/goldtadise.com\/wp-content\/uploads\/2021\/05\/Screenshot_2021-05-26-SILVER-Silver-Continuous-Contract-EOD.png\")
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