Technical analyst Jack Chan charts the latest moves in the precious metal markets, noting the impacts of a sharp selloff in silver. The precious metals sector is on major buy signal. The cycle is down, barely. The multimonth consolidation continues.
Our proprietary cycle indicator is down.
The gold sector is on a short-term buy signal. Short-term signals can last for days and weeks, and are more suitable for traders.
The correction since February is expanding, now with resistance and support. The longer the consolidation, the more powerful the eventual breakout.
Silver is on a long-term buy signal.
SLV is on a short-term sell signal, and short-term signals can last for days to weeks, more suitable for traders.
The sharp selloff of the past three weeks has shrunk speculative activity to levels of previous bottoms.