A trade in silver

January 26, 2016

I always pay attention when Peter turns bullish on any metals. He is very good at keeping his emotions out of the picture. As you will read below Peter is looking at a potential trade into silver for a move up. however this is not going to be a long term uptrend. As with many analysts he continues to think we will have another move lower before the final bottom is in.

Here what Peter has to say. I also recommending checking out his work over at Factor LLC – click here.

I think it must be declared that the precious metal markets have NOT competed major bottom patterns — not even close, yet!.

But there is interesting chart construction in Silver.

First, a 14-month falling wedge is visible on the weekly graph. Two things about falling wedges are worthy of note.

Falling wedges generally do not become bottoms from which a bull trend is launched.
Falling wedges in raw material markets often back and fill to the frustration of bulls who insist on buying every bulge.

The daily graph is attempting to complete what appears to be a rounding bottom of sorts. A WBB close up today would be impressive.

Factor has established a small long position in Silver. I want to take this market day-by-day on a tactical basis.

plb

Discussion

5 Comments

Excelsior

Jan 26, 2016 26:30 PM

Cory – good post from Peter on the potential short term bounce in the Silver Wedgie.

MNH

Jan 26, 2016 26:29 PM

Thanks for posting Cory. Think you can throw out the chart for silver though. Where the rubber meets the road in Physical Silver. I’m completely convinced that supply problems are going to hamper ASE sales in 2016, that allocations will begin before the end of February and be long in duration— all year long. 47 million ASE sold in ’15, I expect something around 15 million for a 2016 sales TOTAL. Also expect issues with Pirth and RCM products, coins and bars….You will only a slight rise in silver spot price, maybe pushing $16…but watch as premiums will go up to be equal to or exceed spot by late summer…. 2016 is an entirely different ball game for Phyzz Silver

irishtony

Jan 26, 2016 26:13 PM

MNH…My advice FWIW to everybody is . If you have spare cash buy now while the sale is still on.

John

Jan 26, 2016 26:03 PM

as usual i love all the buy now before the world ends comments

Excelsior

Jan 27, 2016 27:38 AM

Is it Time for a Silver Price Turnaround?
Featuring VRIC comments from Keith Neumeyer, Phillips S. Baker, Jr., Randy Smallwood and Ross Beaty.

Charlotte McLeod • January 26, 2016

http://investingnews.com/daily/resource-investing/precious-metals-investing/silver-investing/silver-price-ross-beaty-keith-neumeyer-randy-smallwood-phillips-baker/?mqsc=E3824362&utm_source=WhatCountsEmail&utm_medium=INN_FullList+INN%20Daily+INN%20Daily&utm_campaign=INN%20Daily%20Automated

Welcome!

A trade in silver