To put Friday’s gratuitous dive in perspective, it did not even erase the week’s gains, much less generate an impulse leg of significant degree. The bull market begun in March remains visually intact, biding its time until a change in the headlines signals the kind of real trouble that could rekindle interest in bullion. In the meantime, the perception that Biden will try to one-up his predecessors, including Trump, with The Mother of All Stimulus Packages will at least keep bullion buoyant. This is notwithstanding the current climate of uncertainty, which has allowed the scumballs who manipulate silver prices for a living to create and briefly leverage the impression that the switch to Democrats will somehow be bad for gold and silver. Returning to the chart, the futures signaled theoretical upside to at least p=29.67 when they touched the green line in mid-October. Now buyers will need to hit p and pull back to the line to trip a ‘mechanical’ buy signal of significant degree. Fortunately, we’re in no hurry for great opportunities to materialize. _______ UPDATE (Jan 14, 6:53 p.m.): Silver has looked slightly less fatigued than gold lately, which isn’t saying much. The March contract tripped a theoretical buy signal predicated on the p=29.67 rally target given above, but that was three months ago, and bullion has been in a dirge since, biding time.
SIH21 – March Silver (Last:25.66)