Loading ...Silver Sets Up A Long-Term Wave B Bottom
Our proprietary Fibonacci price modeling system is suggesting that Silver has setup an ABC bottom in Oct/Nov 2018 and has already initiated an A/B upside price leg that should result in a C or C/D/E price advance over the next few months. Our Fibonacci price modeling system is suggesting an upside price target of $22 per ounce for this move, which breaks the previous July 2016 highs of $21.22. We believe the ultimate upside target of this next bullish move is bear $28 to $29 based on longer term Fibonacci price modeling.
Initially, this upside move must break the $16.30 level, which represents immediate resistance. Then, it must push above the $18.66 level, which represents secondary resistance. Once Silver passes the $18.66 level, the last leg higher will attempt to break the $21.22 level and push up into new recent highs (higher than the 2016 highs).
We believe the current US Presidential election cycle will be full of twists and turns – most of which will be very public and explosive. We believe this election cycle will create a certain level of fear in the markets that is above and beyond what we have seen over the past 15+ months. In a method that is very similar to what happened in 2016, the public will become entrenched in the election cycle process and the global economy may suffer slightly as the political shenanigans continue to play out on our TVs, newspapers and web browsers.
The October/December 2018 lows were, most likely, the lowest price levels we will see going forward. Additionally, the current price levels, below $15 per ounce, may be the last time we’ll have the opportunity to see prices this low in a number of years. Our price modeling is suggesting that Silver and Gold will begin a Momentum Base Rally from these lows that may last many years.