Silver violated a 21.475 midpoint support yesterday by a whopping 45 cents (120-minute, A=27.840 on 4/11) , strongly implying that it will sink all the way to 18.115 before finding a good bottom. Even so, the power of the reversal, like Gold’s, has created an impulse leg sufficient to push the bear target at least temporarily out of mind. For camo trading purposes, I’d suggest starting with the 120-minute chart, since it is the largest degree with the potential to produce three single-bar coordinates the way we like ’em. I’ve sketched them out, along with a potential long-entry set-up for camouflageurs. _______ UPDATE (May 29): ZZzzzzzzzzzzzzzzzzzz. _______ UPDATE (June 6): No change: Zzzzzzzzzzzzzz. _______ UPDATE (June 12): Prospects have taken a turn for the worse with recent weakness that points as low as 18.115 should the downtrend begun from mid-April’s highs near $28 should turn ugly again. A lesser pattern that projects to 18.705 will give Silver a chance to turn around from 20.997, the ‘p’ midpoint support.
