Silver: Key Resistance Looms Overhead

Both gold (GLD) and silver (SLV) had exceptional year-end runs, with both metals closing out December with 3% and 4% advances, respectively. The 3-month Treasury Bill Rate (1.55%) continues to trade well below the U.S. annual inflation rate (2.10%) supports a bullish backdrop for the metals on a big picture basis, short-term, silver is sitting just a couple of percent shy of key resistance. Based on this, I believe investors would be wise to be patient when it comes to adding new exposure, as the next strong support level sits…

Here Is Why Silver Recently Rose

Silver has been on a tear the past 5 trading days. Even with Friday’s intraday drop, it closed higher on Friday than it closed Thursday. It’s a nice looking run-up on the chart – (credit Fidelity.com) Reasons cited for this rise include increasing uncertainty in the US-China trade war, some sudden concern about the Fed’s last notes-release, and some soft reports on the US economy. Today it’s the soft durable goods report not quite giving investors the warm and fuzzies, so apparently they’ve noticed that precious metals took a bit of a hammering before. Could…

Silver: Long-Term Chart Improving – ETF Daily News

At the end of the year, it’s always worth taking the time to assess how markets are closing on a yearly bar basis. The most significant moves subject to the least noise are always the easiest to navigate on long-term charts. When it comes to silver (SLV), the yearly chart is finally trying to perk up, with the metal within the closest proximity to its 10-year moving average since its bear market began. In addition, while it may not have felt like it, the metal is on track for a…

After the Federal Reserve Meeting, Where are Silver Prices Headed?

The Federal Reserve had its last meeting of the year yesterday, and not surprisingly, the meeting was a non-event with no further cuts. The Fed noted that we were likely to see a pause next year, while it watches to see how things shake out for the economy. Ultimately, this is a good sign for the precious metals, as we are likely to see inflation pick up next year with loose monetary policy sticking around for another year. Gold (GLD) and silver (SLV) were relatively flat following the meeting, but…

Silver Drops 2%, Is It Headed Even Lower?

Today we saw silver (SLV) drop more than 2% and I believe it is still difficult to have high conviction that the lows are in at $16.50/oz. This is divergent from the action we see in gold (GLD), where sentiment is near May levels, and we’ve seen small speculators shed a significant amount of long contracts despite a more modest drop. Let’s take a closer look below: (Source: Author’s Chart) As we can see from the chart of silver with small speculator positioning, we can see that the silver price tends…