Get started

SLV

How the FED Will Pump SilverHistorically, when the FED decides to raise interest rates it ends up breaking the market. This happened in 2000 and 2008 with the solution being interest rate suppression and quantitative easing. Both of these methods produce abnormal rates of inflation, leading the FED to raise interest rates in an attempt to preserve the purchasing power of the dollar - and it breaks once more. It is practically certain that going into this next recession, the FED will once more lower interest rates in an attempt to stimulate the economy. Yet each time they do this, they must start by filling the "bad debt black hole" in order to prevent a complete breakdown in confidence. The black hole grows proportionally to debt, and considering there is more debt now than there ever has been in history, the initial round of QE required this go around must be unprecedented in scale. QE and suppressed interest rates are what caused commodity prices to take off in 2009, notably gold, silver and oil. We can expect the same result this go around. Once the FED is forced to lower interest rates close to or below 0%, there will be no floor on inflation. That point in time will be the perfect setup for silver to shine. When will it happen? It could take another year or so before we see a FED response to a market suffering from debt withdrawals. SLV calls are particularly attractive in such a scenario, as they offer superior leverage for limited risk. Assuming SLV went from $15 to $60 within two years (well within reason), SLV calls offer reward:risk of up to 70:1. Best positioning may be found after a drastic FFR rate cut. Side note: Largest physical holding of silver, and manager of the SLV fund, just so happens to be JPM. JPM also *coincidentally* held the largest net short position in silver on the futures exchange not long ago (cash deliverable only).
AMEX:SLVLong
by Derivati_Capital
2
Is silver about to turn bullish?Good afternoon traders, Been quite some time, my workload is year round, however it's quite seasonal. I'm finally coming off and find myself with some time to do some charting. Silver is one of my long term holds, it's at historical imbalances with gold, and once again, expected to out perform gold in 2019, take that with a grain of salt because as we all know, metals aren't the cool investment on the block these past years. Let's dive in. Bullish Key Points: 1) Silver is currently sitting underneath the 21 Weekly EMA, the first test will be to clear this hurdle and start trading between the 21 and 50 EMA. 2) The 21 and 50 EMA have crossed on the daily chart, last time this has happened was June 8th and silver rallied almost 6%. 3) If silver can break the 21 weekly EMA, then it has another immediate test @ 14.00. Beyond this, we have the local downtrend channel dating back to August 2016 @ 14.50. 4) Silver currently has the most upside of all the metals, and with the current market economy, could potentially realize significant gains in the next couple of months. Bearish Key Points: 1) Let's be honest, this is a highly manipulated market. If the powers that be deem it's not going anywhere, well it just won't. 2) Weekly EMA test. Silver has not traded above the 21 EMA since June, if it can't find steam in the current market conditions, I'm not sure what else it will take to get it moving. 3) It has major tests ahead. In addition to the weekly EMA we also have two major tests within 6% of the current price. Positions: 1) I currently hold spot silver ETF, as well as multiple future long calls. As always, if you appreciate my content please hit the "Like" button, and consider following. Thanks for reading!
AMEX:SLV
by ant187
7
Long Term Outlook on Silver - MonthlyIn the Macro perspective Silver doesn't look too good right now. There are more bearish signs than bullish. All of them are listed on the chart, but the biggest red flag would have to be the Monthly death cross (50 MA crossing - 200 MA) and resistance forming on the 200 Exponential Moving average . I'm not going short or long at the moment just waiting for a good time to buy at one of the Green support levels. I believe silver will be increasingly more valuable in the future, especially its use cases in electronics, jewelry and photography. geology.com
TVC:SILVER
by Malfury
3
DBC - More Odd Charts - Commodity Drop Underway?Crude oil has been getting absolutely walloped for weeks now, having lost over a third of its value recently. Looking at the chart of USOIL I recently posted, it seems to me we are definitely primed for a bounce. The bounce will ultimately fail, but we’re really, really oversold at this point. One thing I noticed is that the commodity ETF, symbol DBC, has actually cracked the channel which has been in place for years. Like I said above, I think oil will bounce, but I wouldn’t be surprised to see DBC hit resistance in the form of that now-broken channel. DBC is the basket of commodities
AMEX:DBCShort
by RHTrading