SILVER 0.30% $15.25 silver futures

huge breakout about to occur imo

  1. 12,636 Posts.
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    The USD has hit a massive resistance level at around 84 on the USD index... This is shown on the chart below and you can see the massive candlesticks showing the price at 84 was rejected, not once, but 5 times... This is hugely bearish IMO... With QE3 on the way, it's only a matter of time, and investors are now switching from the USD to precious metals and the upward march in gold and silver will intensify as investors flee the USD...

    As shown in the picture below, I have included 3 charts of silver, one of a multi year view, the next view is just from the past year and it shows the consolidation phase... The other is a short term view to show what has happened over the past few months...

    The price is nearing the end of the consolidation period and something has to give as we near the pointy end of the triangle... Either there will be a big drop or a big rise... I am betting on a big rise due to how close QE3 is and how over bought the USD is... Both very bullish for silver and gold...

    Also another thing to point is that as we near the end of the triangular consolidation phase, the volatility, up and down has decreased to a point of a very narrow range... Another sign that something big is coming very shortly...

    I believe the next leg is about to commence and it will be something very exciting...

 
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