Thursday, October 20, 2011

Silver Waterfall in Process- Preparing to Take Out $30

Live 24 hours silver chart [ Kitco Inc. ]After running to $31.50 early in today's trading session, silver is being taken down towards $30..and actually just bounced off $30 as I typed. 
It is clear that Tuesday's CFTC actions have not changed things much in the short term for silver- which remains range bound from $28.50-$33.
We still have not seen a retest of the overnight candlestick low of $26.  If silver can't remain above $30, look for this bottom to be tested at some point before silver starts its next major move up.   From a long term perspective, anything under $30 is an excellent entry point- don't make the mistake of saving all your dry powder in hopes silver does retest $26, RESPOND to price weakness as it happens and BUY INTO the price weakness.

Live 24 hours silver chart [ Kitco Inc. ]