Gold Market Wire
News, analysis and commentary for gold traders and investors
Silver Market Update
May 14, 2021 - (Gold Market Wire) - The stock markets are recovering, and so the Metals are stabilizing. As we pointed out yesterday, however, Gold and Silver don't seem to be as enslaved to the equities markets as they once were, and can be seen to be forming a path of their own. Really, we would have expected a much more 'fearful' move down, when the DOW started to trade under 33,800. So far, so good. But, what next?
Silver has a target to clear - the horizontal line that has been a real barrier to higher prices - and the chart lays it out clearly:
So, we have some fairly strong resistance in a market that wants to move higher. The stand off can't go on forever, and, within the context of opinion, only, we think we will resolve to the upside. The primary reason for this opinion is simply that the general inflationary tenor of the global economy is a wind at the back of the metals. We won;t have to wait too long for a resolution, but right now, we are content with our remaining 2/3 length. Retail prices and wholesale commodities are on a tear these days, and that is denting confidence amongst the general population. US party politics is in a mess, Europe is in a near-depression and the international security scene continues to deteriorate. The Metals have a bid due to all of that, and buying pullbacks ids the order of the day.