Investing
Haven
No Result
View All Result
Monday, June 27, 2022
  • Login
  • Premium Services & Login
  • 2022 Forecasts
  • Commodities & Gold
  • Stocks
  • Crypto
  • Mission 2026
Crypto investing >>
Investing
Haven
  • Premium Services & Login
  • 2022 Forecasts
  • Commodities & Gold
  • Stocks
  • Crypto
  • Mission 2026
No Result
View All Result
InvestingHaven
No Result
View All Result

The Price Of Silver Is Still Constructive, Here Is Why

by Taki Tsaklanos
May 15, 2022
in Commodities & Gold
0
Tags: SILVER
silver bullish
1.9k
VIEWS
Share on FacebookShare on Twitter

For a while now, the price of silver was setting up for an explosive move to the upside. There were multiple macro level indicators and chart setups pointing towards an explosive breakout. The detailed analysis was laid out in our annual silver price forecast back in November 2021. Fast forward to spring 2022 and we still haven’t seen that move materialize.

What’s happening with silver price in 2022? Is the choppy action here to stay? Is the price currently breaking down? These are the questions we will try to answer. Zooming into the relatively smaller time frames but keeping in mind the bigger picture.

Silver Price Bullish setup into 2022

Looking into Silver price’s monthly chart, we see the following: a clear well defined bull flag, a continuation pattern that could easily take the price to 40 USD if the move materializes.

The close of the month of May is important so the Bullish structure remains intact.

Since mid 2020, Silver price was setting up for its next big move. It could go either way but as long as the pattern doesn’t break, we are still likely to see a fast move to the upside. A clear Bullish pattern has been setting up for almost 2 years now and would usually lead to a powerful move.

silver forecast

On the daily chart however, we can see that the volatility isn’t over yet and that the price just made a lower low. So we would expect more choppiness for the weeks to come.

silver daily

Back to our forecast, where we mentioned the following:

We expect silver to create a bull run when the Euro starts rising on falling bond yields. This will come after a period of rising bond yields. That’s also a good setup for a weak stock environment: after a rise in bond yields and accordingly rising stock prices in 2022 we expect both to retrace. IF this happens on a rising Euro it would create the perfect environment for silver to start a bull run.

So what happened?

Historically, one of our leading indicators, the Euro, is positively correlated to precious metals whereas bond yields have a negative correlation to both Precious metals and the Euro. As silver price breaks down on the daily in May, we also note an anomaly in the intermarket dynamics: We have falling yields, falling Euro, falling precious metals and the USD is pushing higher.

Something has to give and you can see below how the USD move is starting to look overextended, Yields already started pulling back and looking toppy, the Euro needs an article on its own and Silver is close to support.

silver leading indicators forecast width=

Intriguing price action to say the least, but when we zoom out, we can see (again) that the price is still supported and that we are seeing a ‘back test’ of previous breakout levels. As long as the below area holds, our bullish forecast continues to be valid. Should these levels break, we will have to reassess.

silver weekly

 

Not mentioned in this article, but one other leading indicator of silver (the futures markets CoT report) is now turning wildly bullish. No overstatement, truly wildly bullish. It’s not a timing indicator, it’s a stretch indicator. Members from our premium services Momentum Investing and Trade Alerts receive the commentary in the weekend analysis.

 

Written by hdcharting, reviewed by Taki Tsaklanos

 

  premium service trade alerts   premium service trade alerts   premium service crypto teaser  
Receive top notch forecasts for free.

*We hate spam as you do.

Taki Tsaklanos

Taki Tsaklanos

Taki has +15 years of experience in global markets. His methodology is unique and effective, yet easy to understand; it is based on chart analysis combined with intermarket / fundamental / sentiment analysis. His work appeared on major financial outlets like FinancialSense, MarketWatch, ... Email: taki.tsaklanos@gmail.com. Twitter: twitter.com/investinghaven

Latest

lithium mining stocks

Lithium Outlook 2022 And Sector Darling Lithium Americas

June 26, 2022
inflation

Does This One Inflation Indicator Forecast A Lower Inflation Rate?

June 26, 2022
btc price forecast

Bitcoin’s Bounce: Does It Have Legs Or Is A Re-Test Of The Lows Underway?

June 26, 2022
silver bullish

A Tradeable Silver Price Chart

June 25, 2022

Connect with InvestingHaven

Receive top notch forecasts for free.

*We hate spam as you do.

Categories

  • Premium Services & Login
  • 2022 Forecasts
  • Commodities & Gold
  • Stocks
  • Crypto
  • Mission 2026

Site Navigation

  • RSS Feed
  • About us
  • Sitemap
  • Privacy & Disclaimer
  • Terms of Service
  • Contact Us
Investing
Haven

Top notch forecasting with gold price forecast, many stock predictions, cryptocurrency charts. Many investing tips and crypto market analysis.

Copyright © 2021 Investing Haven

No Result
View All Result
  • Premium Services & Login
  • Premium Investing Service
  • Premium Trading Service
  • Premium Crypto Service
  • 2022 Forecasts
  • Markets & Stocks
  • Commodities & Gold
  • Crypto Markets
  • Mission 2026

Copyright © 2021 Investing Haven

Login to your account below

Forgotten Password?

Fill the forms bellow to register

All fields are required. Log In

Retrieve your password

Please enter your username or email address to reset your password.

Log In