The bearish impulse leg created when the March contract plunged to 26.300 on Monday has been roughly neutralized by the subsequent bounce. While the selloff took out a major low at 26.475 recorded around Thanksgiving, the rally since has racked up two external peaks of lesser degree. This is what I refer to as dueling impulse legs, and although the burden of proof at the moment rests with the bulls, the action of the last several days is encouraging. A key event could be a test of a midpoint support whose location has yet to be determined. It would follow a rollover from current levels, referencing peaks #3 as ‘A’; #1 as ‘B’; and a still undetermined ‘C’. Most bullish of all would be an upward push exceeding the two labeled peaks. If the thrust is unbroken between peaks #3 and #4, that would imply Silver is on its way to a major Hidden Pivot at 32.525 (A=25.050 on November 16).
