Although gold got slapped around last week, silver was having none of it. The July futures ended the week with a decisive pop above p=28.080 (see inset) and a full day of consolidation. This left bulls with an odds-on shot of reaching the 29.07 target this week. If the July contract pulls back to the green line (27.58) first, that would trigger a ‘mechanical’ buy, stop 27.08. However, since the implied entry risk on four contracts would be $10,000, I am recommending this trade only to subscribers able to craft a ‘reverse abc’ or ‘camouflage’ to cut that down to $2500 or less theoretical. ______ UPDATE (June 14, 9:24 a.m. ET): If you used a ‘reverse abc’ entry as suggested, you should be out of half the trade with a realized profit of $500, and two contracts remaining. One should be held for a swing at the fences above d=27.76. Here’s a chart that shows it all. _______ UPDATE (9:40 a.m.): The futures just blew past the D rally target of my rABC pattern, so you should be out of 75% of the position. Current gain is around $2300. ______ UPDATE (9:47 a.m.): The rally has turned explosive, with a so far high at 28.02 that would equate to a profit of around $3,300. Here’s a snapshot from just minutes ago that is already behind the move. _____ UPDATE (Jun 16, 12:28 a.m.): The sloppy trendlessness of the last five weeks has lost my attention. Things were more interesting when the bad guys were still capable of crushing silver on days when the markets turned moodless. _______ UPDATE (Jun 16, 1:16 a.m.): Silver’s plunge on Wednesday was strongly impulsive on the hourly chart, suggesting that the subsequent bounce will prove to have been merely corrective. Let’s give it another day before allowing further discouragement.
SIN21 – July Silver (Last:27.20)