SIZ09 – Comex December Silver (Last:17.380)

Lacking the steadfast support of such sovereign buyers of gold as India and China, silver remains on the disabled list, unable again yesterday to push past a 17.970 peak from October 23 peak that December Gold shredded last week in mere minutes.  In fact, Silver’s current rally, such as it  is, failed to pierce even a secondary peak at 17.800 recorded on October 26 that should have been a piece of cake.  If it continues to barrel higher, gold will eventually drag silver higher. However, I doubt this effect will be seen if December Gold hits 1034.50 and takes a rest, as seems likely. What silver bulls can hope for at the moment is that October’s supply zone, which ranges from 17.210 to  19.175, gets eaten away over the next 2-3 weeks. Even better would be a gold blowout above 1034.50, since that would exert an irresistible pull on silver.