Silver is a tough one here. As you can see in my updated long-term weekly silver chart annotations there are two possible outcomes. We could see a complete breakdown if the trendline is broken and the double top pattern comes into play. One could also interpret this as a complex bearish head and shoulders reversal pattern. The diametrically opposed view would be a bullish wedge being the dominant chart pattern at hand.
Up-to-date Silver weekly price chart on my public list.
I see decreasing volume within a bullish wedge pattern. As long as we don’t see volume picking up while price is breaking down I would expect the bullish scenario to be the higher odds proposition. This is a typical situation where it is best to adopt a wait and see approach. If this is indeed a bullish pattern much higher prices will be the result. Pundits will then talk about 100$ price targets for silver. My point is: You won’t miss anything. There will be plenty of opportunities to profit if the bullish technicals ultimately drive price up. Patience.
Here’s an interesting video interview with Chris Martenson’s take on silver. Needless to say, he is extremely bullish on the white shiny metal.
To preserve independence, we must not let our rulers load us with perpetual debt. – Thomas Jefferson