Larry Baer's Technicals: Monthly Charts Don't Confirm Gold & Silver's Downtrends, Offering Opportunity

May 30, 2012


After its longer-term downtrend confirmation, silver issued over a half dozen sell signals on the daily chart as the market works its way lower.


Silver Daily Chart


On their respective weekly charts, both gold and silver have not confirmed to me that they are in longer-term downward trends.

Gold, unlike silver, even has some remaining support below on its weekly chart.

Looking at the silver weekly chart shown below, you can see that so far, silver’s low extreme was put in two weeks ago. Assuming silver does not put in a new low extreme this week, it must close below 26.895 to suggest it may be in a longer-term downtrend on the weekly chart.

Gold is in a similar position, as it has not suggested a longer-term downtrend, and both markets still can qualify for King’s Cross counter-trend buy signals on their weekly charts.


Silver Weekly Chart



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