In my previous post on $SLV, I highlighted that the letter ‘h’ might form on the chart.
However, it did not. Instead it bounced off the support level near $32 and stage a comeback.
However, I will be wary of a bullish move for SLV for the next few months (at least till Nov-Dec).
We see a dramatic fall of SLV from $48 to $32 within one week.
Since then, the buy side volume has not bee high compared to the sell side volume in May.
Technically on the Ichimoku chart, we can also see that SLV is facing heavy resistance from the kumo; all the way to $40.
Unless, we have a breakout above the kumo with good volume, I suspect the SLV rally will be shortlived. Short term, I see SLV retracing to $32 levels and I am thinking it will happen before year ends.
Beyond that, I will need to wait for the Ichimoku chart to develop further.