Silver Could Be Creating A Double Bottom Pattern

Share This Article
September 13, 2018 6:19am NYSE:SLV

silver-coin-1421959-640x480

From Chris Kimble: Could Silver be creating a long-term “Double Bottoming” pattern over the past 3-years?


Let’s investigate the possibility and what it would take for the potential bullish pattern to fail.

Before we get started let me make this point clear; the trend in Silver since the highs in 2011 remains down!

This chart looks at Silver on a monthly basis over the past 45-years, where we applied Fibonacci retracement levels to its 1980 highs and 1993 lows. The 23% Fibonacci retracement level comes into play at the $14 level.

The 23% level was hit a couple of years (2016), where a 40% counter-trend rally took place. Weakness since the counter-trend high has it testing the 23% level again at (1), where it could be creating a “Double Bottom” formation. While it is testing this key retracement level for the 2nd time, smart money silver hedgers have a huge bet in play it will rally.

What would eliminate the potential that that Double bottom pattern failed? A simple break of the 23% level!

If you would like to invest in Gold, Silver, Copper and the Miners, we would be honored if you were a Metals Member. We are of the opinion some of the best opportunities/inflection points in years for the metals sector are in play!

The iShares Silver Trust ETF (SLV) rose $0.02 (+0.15%) in premarket trading Thursday. Year-to-date, SLV has declined -16.26%, versus a 8.78% rise in the benchmark S&P 500 index during the same period.

SLV currently has an ETF Daily News SMART Grade of C (Neutral), and is ranked #9 of 35 ETFs in the Precious Metals ETFs category.


This article is brought to you courtesy of Kimble Charting Solutions.


Read Next



Get Free Updates

Join over 50,000 investors who get the latest news from ETFDailyNews.com!

Most Popular


From Our Partners


Explore More from ETFDailyNews.com

Free Daily Newsletter

Get daily ETF insights from our market experts. Never miss another important market development again!

ETFDailyNews.com respects your privacy.

Best ETFs

We've rated and ranked nearly 2,000 ETFs and ETNs using our proprietary SMART Grade system.

View Top Rated ETFs

Best Categories

We've ranked dozens of ETF categories based on relative performance.

Best ETF Categories