Gold Market Wire
News, analysis and commentary for gold traders and investors
Silver Market Update
Silver Struggles to Clear Resistance
June 3, 2021 - (Gold Market Wire) - Precious Metals are struggling to make the next leap higher and are backing off. Silver's struggle to clear the major downtrending line is causing the profit takers to come out now.
A bearish start to the day in a still bullish environment. We're in the Box described below, so we are facing a lot of noise.
All of those spikes we see are indicating an indecisive market that is getting pushed around. The almost back to back spikes of May 28 and June 1 have us concerned. The lower end of the box is fairly close to first Fibonacci retracement level. We need to see that hold.
We haven't fended off the reversal indication of May 31/June 1, and that makes us, short-term, less bullish. We might have to wait for a retracement under $27.00 before we can collect ourselves for another shot at break out.
For the conservative player, long from the $26.50 area, lightening up could be in order. Those with a bigger risk appetite can see this as a buying opportunity. We will look for the lower end of the box to consider new length, or the second 'fib'... depending on conditions and sentiment at the time. We've had a decent rally for almost two months now, and some downside could be in order, but in the name of discipline we are inclined to respect the parameters of the Box, which means adding some length small length here and perhaps more at the 'fib' 'level.
The bullish outlook, medium-term/long-term, remains unchanged.