It’s just before the Fed Announcement on interest rates. Silver has been trading between $14 and $15 since August tracing out a mid-trend correction. The Elliott Wave pattern for Silver is right at the point where prices could head down with authority with a raise in interest rates (making the dollar stronger).
Conversely, one could make a case that Silver would head over $15 if Powell comes across dovish. If that were to happen, it would be counted as an end to the upwards correction, people would think something is wrong, and start selling all assets including PM’s, causing Silver to then go down anyways.
Though I expect lower Silver prices, and I labeled this a Short idea, this is definitely not a market you want to Short! This is a market you should be accumulating for the time when Silver wakes up.
@ShroomDaddy, Hey shroom daddy, here's a more recent post of mine for you:
ShroomDaddy
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@Cincinnatuus, I still think it will push past 16.00... we will see
Cincinnatuus
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@ShroomDaddy, The dollar is pretty strong right now, but this is a 'Cut your losses and let your profits run' kind of scenario...
ShroomDaddy
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@Cincinnatuus, I bought physical silver at 14.00 so unfortunately I can't do that. I'll buy more if it drops I guess. Good luck :)
Cincinnatuus
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@ShroomDaddy, Good plan. I've been accumulating here too. Frankly, these Silver charts are me trying to figure out where the bottom is going to be so I can buy some Silver in Size... Good Luck to you as well, and keep stacking!
ant1112
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How's that short going? It looks like the markets aren't pulling PM's down with them for now. I don't think the tech bubble bursting is going to bring PM's down this time. August 2008 we entered a bear market in gold, silver and the DOW coming off recent highs. Now that the composites are in a bear market yet again PM's are not following because they have already declined so much. If we were going to see $12 silver we would have already been there or at least below $14 on the way to those levels. The opposite is happening and I hope you can see with your self proclaimed skills on predicting lows that the bottoms are in.
Cincinnatuus
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@ant1112, Been putting a little money to work on the dips in Silver. Not the big drop yet, but thinking we'll get a chance coming up here in the spring when the 40 month cycle comes in. Thinking you might actually get your $15 Silver coming up here shortly... Not that you would sell, but, it would be a good opportunity to sell a few calls for some time premium.
ant1112
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@Cincinnatuus, Look man i'm not even here to be an "ass" as you've called me before. Your not supposed to make decisions on impulse but at times like this that's how the moneys made. Im short stocks long PM's all the way till DOW 150 SLV 5,000 lol. Like I said I don't think we will see a sharp drop similar to the one in October of 08. It looks like we are in the exact same place we were exactly 10 years ago. Coming off of a drop finding a bottom and rising out of it. The drop wasn't as severe this time because the rally up before the drop wasn't as severe either. There is nothing holding PM's back anymore and so many things pushing them upward. Recession looming?....Check!
Even if the FED raises rates which they probably will twice in 2019 it wont drastically bring the dollar up and PM's down. I mean just look at the impacts of the december rate hike as an example. Stocks practically shit themselves along with the people holding them. Panic is great for PM's!
Pretty soon you'll be hearing "the Federal Reserve is as federal as FedEx" and you'll be happy you bought smart before all the panic money comes barrelling in.
StefanBode
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Yes, i waiting for new lows too and will accumulate cheap silver producer with low AICS's without or low dept.