It is concerning that, before it fell apart, March Silver did not quite reach our longstanding target at 24.95, nor one at 25.06 that would have completed the somewhat larger pattern shown (inset). Even so, the futures would be an enticing ‘mechanical’ buy nonetheless at x=21.85, stop 20.89, for a one-level ride, at least. The implied entry risk on four contracts would be a little more than $21,000, so this trade should be attempted only with a ‘camo’ trigger capable of bringing that down to perhaps $1,200 or less. _____ UPDATE (Feb 10); The futures bottomed on Friday two pennies below 21.85, the number flagged above. Although they subsequently rallied 37 cents, there was no indication that anyone did the trade, let alone took the partial profit that was possible before the trend reversed. No further recommendations for now.
SIH23 – March Silver (Last:22.00)
