Gold Market Wire
News, analysis and commentary for gold traders and investors
Silver Market Update
Silver's Power Downtrend Falls
August 23, 2021 - (Gold Market Wire) - Silver has finally broken the power downtrend as it continues to build a set of bullish indicators. The chart shows the action this European a.m.:
Almost three weeks in the making, the downtrend has been a force to be reckoned with. This morning's action, however, is painting the outline of a reversal in the making. The bottom line is plain: the $23.00 level is holding, and if the bears want to make another charge they will have to act soon. Yes, the US Dollar has weakened slightly this morning, but that is only after some modest upside in the past few weeks.
As for Gold, the reality is that, aside from the early August, one day, sell-off, Gold has done very little.
It's Silver that has been doing all the real movement, which is hardly surprising, as it's a thin market that can be pushed around at the best of times... let alone in mid to late August, which is when COT loves to play games.
More and more the August 9 drill down is starting to look like a wash out of the weak length, and today's Silver action looks like the gold/silver ratio is going to start to reverse. That is positive for the metals in general. With confidence in the Biden administration collapsing in the U.S., we can add yet another facet to the general 'loss of confidence' in government, which is the true wind at the Metals' back.