Subscribe for 12 months with recurring billing - $199

Buy 12 months of subscription time - $199

 

Search Silver Prices
Silver Price
[Most Recent Quotes from www.kitco.com] Our RSS Feed

Silver Updates by Mail

Enter your email address:

Follow Us on Twitter
« Endeavour Silver Corp: Strengthens Management Team | Main | Silver down 50 cents! »
Thursday
Oct042007

Silver: A short pause!

Silver Chart 04oct07
Silver has experienced a terrific run up from $11.50 to $14.00 so a pull back of some sort was to be expected. As we write silver is at $13.15, which is pretty close to its 200dma unlike gold, which is trading much higher.

Taking a quick look at the chart we can see that the technical indicators are turning negative which suggest that silver will continue to retreat. However as silver is more or less sitting on its 200dma the downside could well be limited. The danger is that silvers big brother gold continues to be sold off and the selling spills over into the silver sector. Again this would present us with another buying opportunity if that were to happen. Having taken some profits in our gold investment account we decided to hold our position in silver.

Gold Chart 04oct07

We regarded silver as being a little ahead of itself but that it was not as overbought as gold. The question remains when do we re-commence buying stocks? The answer appears to be when gold exhausts its current selling pressure, which has so far seen it drop around $20.00.

The next ten days or so should give us some clues as to when silver will get back into the saddle and head north, for the winter! So no buying for us just yet but it is vitally important to closely observe the individual performance of silver stocks and try and ascertain which stocks will outperform this market.

Have a good one.

If you wish to receive our free silver prices newsletter please click this LINK.

PrintView Printer Friendly Version

EmailEmail Article to Friend

Reader Comments

There are no comments for this journal entry. To create a new comment, use the form below.

PostPost a New Comment

Enter your information below to add a new comment.

My response is on my own website »
Author Email (optional):
Author URL (optional):
Post:
 
Some HTML allowed: <a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <code> <em> <i> <strike> <strong>