Time to Look for a Bottom in Silver?Posted 05/30/2019 10:24AM CT |
I’m going to go out on a limb here and call a bottom in silver. I firmly believe, and most commodity traders would agree with me, that it’s almost always just a level on the chart that stops or turns around a market’s direction. So, the first thing I see now is that silver has tested long term support at the $14.30 range. Value is a range, not one specific price. I believe silver is in the “value” range now and that from here there is very limited downside.
We also must look at the silver to gold ratio. Today it is roughly 90 to 1. I don’t necessarily recommend selling gold and buying silver as a spread, however, silver is very attractive at these current levels for long term investment. I’m targeting $16.00 as a new trade objective.
I’m also looking for July copper to find good support in the $2.60 to $2.65 range.
Silver Jul ’19 Daily Chart