Best Financial Markets Analysis Article The impressive 2009 recovery in Silver began to show signs of maturing in the latter part of the year, with price action in Dec giving a hint of bear fatigue. We remain content with the bearish stance that we hold in the Commodity Specialist Guide and now expect to see further confirmation of this.

The Commodity Specialist view

WEEKLY CHART – CONTINUATION:

The 76.4% recovery level wasn’t very effective as resistance – it is arguable whether or not it has had a residual resistive influence.

What is clear, though, is the resistance found from the Jul-08 high.

First interesting support on this chart is implied around 16.00 (see also Daily chart below).

DAILY CHART – MAR-10:

An initial negative sign came from the Dec break below the small bull channel base projection, implying loss of momentum.

The recent bounce off clear 38.2% support has met equally clear resistance from the 76.4% s/term recovery level – we had assumed that such strength would not be long-lasting.

A break below the 38.2% area is likely, the next target being the 16.00 area, 50% pullback and Jun-09 high. However, we also keep in mind a lower Fibo projection at 15.55.

We are not yet looking for a major reversal in bull trend, though.

Philip Allwright
Mark Sturdy

Seven Days Ahead
Be sure to sign up for and receive these articles automatically at Market Updates

Mark Sturdy, John Lewis & Philip Allwright, write exclusively for Seven Days Ahead a regulated financial advisor selling professional-level technical and macro analysis and high-performing trade recommendations with detailed risk control for banks, hedge funds, and expert private investors around the world. Check out our subscriptions.

© 2010 Copyright Seven Days Ahead - All Rights Reserved
Disclaimer: The above is a matter of opinion provided for general information purposes only and is not intended as investment advice. Information and analysis above are derived from sources and utilising methods believed to be reliable, but we cannot accept responsibility for any losses you may incur as a result of this analysis. Individuals should consult with their personal financial advisors.

Seven Days Ahead Archive

Only logged in users are allowed to post comments. Register/ Log in

The Market Oracle is a FREE Financial Markets Forecasting & Analysis web-site.
(c) 2005-2024 MarketOracle.co.uk (Market Oracle Ltd) - Market Oracle Ltd asserts copyright on all articles authored by our editorial team and all comments posted. Any and all information provided within the web-site, is for general information purposes only and Market Oracle Ltd do not warrant the accuracy, timeliness or suitability of any information provided on this site. nor is or shall be deemed to constitute, financial or any other advice or recommendation by us. and are also not meant to be investment advice or solicitation or recommendation to establish market positions. We do not give investment advice and our comments are an expression of opinion only and should not be construed in any manner whatsoever as recommendations to enter into a market position either stock, option, futures contract, bonds, commodity or any other financial instrument at any time. We recommend that independent professional advice is obtained before you make any investment or trading decisions. By using this site you agree to this sites Terms of Use. From time to time we promote or endorse certain products / services that we believe are worthy of your time and attention. In return for that endorsement and only in the cases where you purchase directly though us may we be compensated by the producers of those products.