Saturday, 4/29 10:43 am EST. This past week is over. Trading has ceased, and a technical chart pattern has been established, that anyone could read. How I wish I knew if I could post charts here, and how… but, I am an older, technologically-challenged guy, and know how to type rapidly with one finger on each hand! Technology and I are barely even on speaking terms. But, give me a set of tools, and a car, motorcycle or mower, and step back and look out!
So, what have we got? Let’s do the charts for all 16 symbols, then the one chart for the average of them all.
First, I see gainers on average volume with: RGLD, GLD, HL, GDX, SLW, SSRI, CDE, PAAS, AG, ABX, FSM and NUGT.
And, decliners on average volume: SLV.
Gainers on light volume, as with: SGDM, PVG and SILJ.
My ‘guess’ is we had a slightly up day on average volume, when I chart the average for all 16. I look, and indeed, that’s all that has happened. Volume on the day was not 3% above average!
The read is incredibly easy. Nearest-term support has been put into place, and has held, for 4 straight trading days, to include Friday. March lows and December lows are the very most important price support levels we have at this time, and they look quite secure, from this current vantage point. Silver has been going straight down, since 4/13, for 10 straight trading days in a row! That has got to be some kind of a record, or near-record of sorts, that would tell me… though I am NOT tracking, or measuring it, that it is likely to experience a relief rally of sorts very soon. A check on measures like RSI and Stochastics at stockcharts.com, and silver is indeed oversold!
Here’s what we’ve got. We have a bullish scenario playing out, that began last December. A look at GLD gives us a clear bullish chart pattern of higher lows, and higher highs. With the latest high of 4/13 to be current resistance. Nearly every volume spike of any size above the 50-day moving average of volume, since 3/14, is green, indicating that was UP volume. The case is building. The verdict is becoming more clear and obvious.
And, at some point, there is going to be a jumping on-board of a great many more traders, to start pushing the metals and miners higher, as this technical pattern cannot be ignored, and is not going to be overlooked forever.
Will it all unravel, and come undone??? The chart doesn’t say anything like that at this time… and silver, having been all beat up, like it has these past 2 weeks… a relief rally is likely on its way!
Here’s to your accumulation of real wealth!
Harold F Crowell