Silver Spot Price 3 Dec 2009
As outlined in yesterday’s spot price silver market report, the correlation between gold and silver seems to have been re-established in the last few days, and as a result yesterday’s minor pullback in gold prices, was replicated in the silver chart with a modest fall, with silver closing the trading session at $18.71 per ounce and creating a down candle with no shadows to top or bottom. Whilst the fall was unwelcome for silver bulls, there are two technical indications that this is only a temporary move down, and as a result we should see silver prices continue higher in due course. The first signal is that the low of the day found some strong support from the 9 day moving average, always a positive signal, and one that suggests that the bullish momentum remains firmly in place. Secondly, and perhaps more importantly this analysis is confirmed by the potential support platform which is now sitting below, and which also provided a barrier to prevent a further move lower yesterday. With these two signals combining, the pullback yesterday may be considered a temporary move only, and as a result we should see silver prices bounce back and higher in due course and on towards our initial target of $20 per ounce, and as such any minor fall should be seen as a buying opportunity for the longer term upwards trend, as for gold.
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Support & Resistance for Spot Price Silver :
S1: 18.44 R1: 19.21
S2: 18.17 R2: 19.71
S3: 17.67 R3: 19.98
Hi
Thank you for your work
I have been following your analysis on silver for the last 3 months. Excellent and very concise and clear.
Am a great bull on silver from 14 levels..but I always wanted a good site where I could find some good daily correct analysis….your site seems to provide that.
I myself work for PE fund managing BRIC nations.
Am also a writer at INVESTING CONTRARIAN
Fresbee
Investing Contrarian
December 5th, 2009 at 5:24 am
just found this comment so apologies for delay in publishing & good to see the ghost of the Hunt brothers living on in the shape of J P Morgan!!.
May 11th, 2010 at 3:46 pm