Silver grabbed the bad guys — J.P. Morgan chief among them, supposedly — by the cahones in the wee hours yesterday, disdaining to let go. The resulting short-squeeze pulped a minor Hidden Pivot resistance at 31.485, shortening the odds that buyers will continue their romp to at least 32.525, a target proffered here earlier. One more resistance has come into the picture — 32.175 — and longs should exercise particular caution there, either through partial-profit taking and/or the use of a trailing stop. If you’re flat and eager to try shorting, a 32.190 stop-loss is suggested. _______ UPDATE (10:53 a.m. EST): Bullseye! If you shorted 32.175 as suggested, that’s the high tick of the day so far — the exact peak of a powerful, 60-cent rally. The 7-cent pullback that ensued should have been used as an opportunity to take a partial profit sufficient, at least, to avoid any loss when SI blows through the high and heads toward 32.525, as it surely will. _______ FURTHER UPDATE (12:04 EST): Holy smokes! New target, just posted in chat room: 34.665. It is clear on the daily chart, where A=22.910 on October 22.
