You're browsing: Home » Silver Prices To Take A Turn South



Silver Prices To Take A Turn South

Print This Post Print This Post | Topic: Silver — January 17th, 2008

Silver prices have been on quite a run recently but it looks as if they are now overbought and due a correction.

Silver Prices To Take A Turn South 180108

Although all the fundamentals of this silver bull market still support a large rise in silver prices over the long term, in the shorter term silver prices appear to us to be overbought and due a correction.

Technically speaking, silver is trading a good $1-$2 above its main moving average lines and could drop back to its support line at around $14.50. The technical indicators also suggest that we are in for a drop in silver prices as the RSI has hit the top of its range and is heading down, as is the STO. The MACD appears also to be turning down and we could see a negative crossover (where the black line breaks down through the red line) in the next week or so.

For these reasons we are not recommending any buying of silver stocks at these prices, or silver itself as we believe both are due a drop in the short term. Longer term however both silver and silver stocks are heading much higher, so this small correction should not worry long term investors.

When silver prices fall to a position where we think any further downside is limited, we may signal a short term trading BUY on silver as we have done in the past. (Please see here and here.)

To stay updated on our trading signals, please subscribe to The Silver Prices Newsletter totally FREE of charge. Simply click here and enter your email address to subscribe.

It may also be of interest to read our gold website, www.gold-prices.biz as we think that gold and gold stocks are also going to correct. You can also subscribe to The Gold Prices Newsletter by clicking here.


Silver Prices Newsletter:


Related Articles
Silver-Prices.net Portfolio Update: 19 January 2008
Silver Standard: BUY
The Precious Metals Correction
Endeavour Silver Corp: Strengthens Management Team
Pan American Silver Corporation: Up 4.41% in one day!

  


No Comments »

No comments yet.

Leave a comment


Whats New
David Morgan on Trading Silver Spikes
Fantastic Buying Opportunity, BUY Silver!
Gold and Silver Investment Summit: London 2008
Golden Buying Opportunity, With a Silver Lining!
SLW: BUY!
Silver – Euphoria
Endeavour Silver Corporation: Supply and Demand!

  

Search Silver-Prices.net
 
International Speculator
Silver Price Banner: [Most Recent Quotes from www.kitco.com]
 Silver Updates by Mail
 
 
 Sponsored Information

 
 Latest News On:
 Our RSS Feed
 
 Price of Silver
 
 Categories
 
 New Comments
 
 

About Us | Disclaimer
© 2008 silver-prices.net