Silver has actually often rebounded almost 100% within 12-15 months after bad and long bearish market. History states silver is ripe for a comparable move.
Here is excellent post about the 4 Reasons to Buy Silver this year. , if you have any concerns or desired to check out the initial article you can discover the link at the bottom.
Moving from the extremely long-term to today, we note that silver faces initial resistance at trendline 2 as well as the 2017 highs near $18 per ounce.
That stands between silver at present and the crucial $20 resistance (which is also shown at trendline 1).
It is rather clear to me that a month-to-month close above $20 (the 2016 high) might kickstart a good run for silver.
Silvers bearish market starting 2011 has actually been the second worst by cost and possibly the worst in regards to time.
We discovered this article at https://www.bullionvault.com/gold-news/silver-2018-012820181
If and when silver breaks above its 2017 highs, we can declare its bear market over (in terms of time). The chart below plots all of the significant bear markets in silver. They all end at the point when silver starts to make higher highs and rises in an impulsive fashion.
Since silver follows gold, a breakout in gold could be a big catalyst for silver to test and break resistance at $20 per ounce. If that occurs, silver would be on its way to another, normal substantial rebound.
We also included the 2008 crash from which silver rebounded 100% in the following 13 months.
The next chart shows the rebounds in silver from the endpoints in the previous chart. From the 3 endpoints silver rebounded considerably in the next 12-15 months.
WHILE gold is really near to a major breakout (in cost) its strength has actually not filtered to silver yet, writes Jordan Roy-Byrne at TheDailygold.com.
We can declare its bear market over (in terms of time) if and when silver breaks above its 2017 highs. The chart below plots all of the significant bearish market in silver. When silver starts to make greater highs and rises in an impulsive fashion, they all end at the point.
It has happened before and we anticipate it will happen once again. We already own a couple of juniors with the very best silver deposits but we continue to try to find junior explorers and silver plays with 5 to 10-fold potential that could gain from a breakout in valuable metals.
Turning back to today, we discover $20 on a regular monthly closing basis to be the most substantial resistance for silver. The chart below is a plot of monthly closing costs.
Silver usually underperforms and lags gold until gold gains momentum or breaks key resistance. A significant breakout in gold this year and its result on silver is just one reason why silver might have a huge year.
However that is alright. Silver usually lags and underperforms gold up until gold gains momentum or breaks essential resistance. A significant breakout in gold this year and its impact on silver is simply one reason silver could have a big year.
Gold is 3% far from a significant breakout and conveniently above its long-term moving averages. Silver is well listed below its 2016 high and is currently fighting its 200-day moving average.