Earlier in May I noticed a bullish inverse pattern setting up on Silver that I initially thought was pointing to a large bounce. Then last week I realized that my inverse pattern was only indicating a moderate bounce for Silver in the near term. Meanwhile last week my SPX charts were indicating a hard plunge for Monday/Tuesday - it happened.
I had decided late last week to play it safe with Silver because I was concerned that the anticipated SPX plunge could lead to a risk-off Silver selloff early this week. SPX gapped down in a serious way on Monday, but Silver only saw a moderate gap down.
My inverse pattern correctly called the gap up breakout today and price movements at number 7 and 8 today. Now, I am just seeing a slow grind up for Silver to top out around $37. Then I foresee it plunging hard down to my first target at $28.50, and then finally bottoming at $27.
The following is the same Intermediate Term chart that I had posted on the weekend. Notice I had mapped out a small push up for Silver to $37 this week. That is occurring now. Beware the Silver Snake - look what happens next!