Gold Market Wire
News, analysis and commentary for gold traders and investors
Silver Market Update
Silver Breaks Out- But Can it Hold?
February 22, 2022 - (Gold Market Wire) - Silver has made its long awaited break above resistance, moving up sharply in the European a.m. The question now becomes, can it hold on to the gains?
Well, so far so good. The trend line was certainly the place to buy yesterday, and as we like to say, "who says Precious Metals aren't technical?" The trend line, simple as it is, worked very well indeed.
Now for the real challenge: trying to hold on. There's a lot of wind at the back of the metals with the Ukraine issue at the forefront of the world, but the Metals, really, should be doing a lot better. The actual speed with which Gold has backed and filled has been intriguing. Is it just trying to galvanize energy to move higher? ... or is it really that pathetic? We stand on the verge of a major military confrontation in Europe, with oil prices and food prices screaming North..and Gold decides to do a back and fill after rising a mere 6% off recent lows. It is hardly an impressive performance. The relative weakness in the Metals remains puzzling and infuriating.
Right now we'd have to say that buying lightly against the power uptrend (pretty much where we sit now) is the right plan, with a larger purchase against the main trend line if we touch down again. If Gold can't move in this situation, we must wonder when it is going to get going, properly. Confidence in government is evaporating like snow in Spring, so the Metals should be moving. Our best chance is now to add to positions as planned and wait and see if we don't catch a bid. It certainly looks like the low is in - but the question remains, "where's the rally?"