Can SILVER BREAKOUT above 32.50?

7 окт.

Silver (along with every other beaten down commodity) exploded on the news of China's stimulus! Unfortunately for silver bugs "somebody" was lying in wait with a mighty big hammer when it poked its head above 32.50.

In a vacuum the fundamentals (supply/demand) are incredibly bullish. However in the macro context of China's housing and economic woes there is a bear case to be made for base and industrial metals. If Copper starts rolling over I expect Silver to follow. Raw cash injections might keep Chinese stocks afloat but I do not believe it alter the reality of the real economy and its effect on commodities.

In addition to the issues with China, the US is at serious risk of a recession. 50 basis point cut has never been bullish. If you take the time to look at the last initial 50 basis point cuts it might curb your enthusiasm. I know... this time "its different"

TECHNICALS:

Silver may retrace to the $30 breakout level.... Great re-entry... if it holds... ( ;

If Silver is able to hold above 32.50 the rally remains intact.

8 окт.

Заметка

Copper is dumping as expected and silver is coming along for the ride. Silver trying to hold $31 level. I will take some money off the table here.

9 окт.

Сделка закрыта: достигнута тейк-профит цена

That was quick! I am not a buyer. Waiting to see how the price action unfolds...