Best of the Week
Most Popular
1.Oil Wars 2016 - US vs Russia vs Saudi Arabia vs Iran - Nadeem_Walayat
2.Crude Oil Price Crash Triggering Global Instability, Trend Forecast 2016 - Nadeem_Walayat
3.Stock Market Crash - Last Week was The 2nd and Final Warning... - Clive_Maund
4.Stock Market Crash Apocalypse or Bull Market Severe Correction? - Nadeem_Walayat
5.TShipping Said to Have Ceased… Is the Worldwide Economy Grinding to a Halt? - Jeff_Berwick
6.Crude Oil Price Crash Catastrophe, Independant Scotland Literally Begging to Rejoin the UK - Nadeem_Walayat
7.Summers: Global Economy Can't Withstand Four 2016 Fed Hikes - Bloomberg
8.Gold And Silver: New World Order: Public Be Damned, Preferably Dead - Michael_Noonan
9.Rigged U.S. Ttreasury Bond Market Double Barreled Hidden Q.E. To Infinity - Jim_Willie_CB
10.Major Stocks Bear Market Awakening - Zeal_LLC
Last 5 days
It's Stock Market Panic Time! - 9th Feb 16
Gold Stocks Picks for Patient Pickers - 9th Feb 16
Oil Price Collapse U.S. Recession Odds 2016 - 9th Feb 16
Preparing for Crisis - It's About Risk Mitigation and Capital Preservation - 9th Feb 16
Top Silver Mining CEO: Don't Laugh, We Could See Silver $100+ - 8th Feb 16
Gold, Investment Leadership Changes Permanent? - 8th Feb 16
Stock Market Panic Decline Begins... - 8th Feb 16
How to Save Money By Growing Your Own Homegrown Tomatoes Indoors From Seeds - 8th Feb 16
US Economy Slides One Step Further Towards A Recession - 8th Feb 16
Gold Bear Market Bottom : Mr. Bear has left the PM Sector for Greener Pastures - 8th Feb 16
Stock Market At Important Support - 8th Feb 16
David Cameron Humiliated in Poland Over Refusal to Stop Taking UK Benefits, BrExit or Super State? - 8th Feb 16
Why Crude Oil Prices Could Continue FALLING From Here - 7th Feb 16
Stock Market S&P, NAS Best, Most Reliable Answers Come From The Market And You - 7th Feb 16
Stocks Bear Market Continues - 7th Feb 16
Silver COT Paving Way for Sustained Upside Breakout Sharp Rally - 7th Feb 16
US Dollar Double Top, Gold Prospects Brightening Rapidly - 7th Feb 16
Gold And Silver - Is A Bottom In? Nothing Confirmed - 7th Feb 16
Gold Stocks Something has Changed - 6th Feb 16
UK Interest Rates, Economy GDP Forecasts 2016 and 2017 - 6th Feb 16
Gold Price, Mining Stocks Rocket Higher - 5th Feb 16
Crude Oil Price Bottoms and Blues - 5th Feb 16
Gold and Silver: Ripe for a Recovery! China May well Change the Game - 5th Feb 16
How Pension Plans are Responding to Financial Repression - 5th Feb 16
Senior Gold Producer Goldcorp Takes Large Stake in Nevada's Gold Standard Ventures - 5th Feb 16
Tips for Smart Oil and Natural Gas Investing 2016 - 5th Feb 16
Another Corporate Giant Is Leaving the U.S. – What This Means for You - 4th Feb 16
TPP is Economic Warfare, Trade Can Make Everyone Worse Off / Governments are Stupid - 4th Feb 16
Gold and Stock Markets Inflection Points Galore - 4th Feb 16
Putin Cries Dyadya (Uncle), Is Saudi Arabia Listening? - 4th Feb 16
Gold Price Golden Bottom? Video - 4th Feb 16
Look North for Value-Priced Growth in Healthcare Biotech Stocks - 4th Feb 16 - TLSReport
BrExit EU Referendum - Britain's FINAL Chance for Freedom From Emerging European Superstate - 4th Feb 16
HUI Now Confirming Gold Price Move Higher - 4th Feb 16
Crude Oil Price Forecast 2016 As Good As It Gets - 4th Feb 16
Gold and Silver More 'Flight To Safety' Active February - 3rd Feb 16
Raytheon Company: A Defensive Stock for a Defensive Market - 3rd Feb 16
Is Silver Really a Weak Link - 3rd Feb 16
Gold to Beat Stocks 2016? - 3rd Feb 16
David Chamberlain Cameron, Britain's Last Chance for Freedom From Emerging European Super State - 3rd Feb 16
EU UK Draft or Daft Agreement By Donald Tusk to Members of the European Council in Full - 2nd Feb 16
Europe: Why It's Going to Get a Lot Worse Before It Gets Better - 2nd Feb 16
The Next Generational Bust Is Coming, Stock Market 70% Collapse - 2nd Feb 16
The Coming Stock Market Decline May be a Monster - 2nd Feb 16
S&P 500 Has Likely Entered a New Bear Phase - 2nd Feb 16
How and Why To Move Your Assets Offshore Before the Financial Collapse - 2nd Feb 16

Free Instant Analysis

Free Instant Technical Analysis


Market Oracle FREE Newsletter

Global Financial Crisis 2016

Silver Price Pushing On A String

Commodities / Gold and Silver 2013 Sep 29, 2013 - 10:21 AM GMT

By: Michael_Noonan

Commodities

Little in the way of news has transpired in the past week that could have an impact on the silver market. The main stage has been set for some time, regarding all the known factors affecting silver, to date. There is no need to review any of them, at this point.

What can be noted is that the CFTC has reached the conclusion that the “alleged” manipulation by JPMorgan in the silver market, well documented and presented to the CFTC by Andrew Macguire, was much ado about nothing.. Just like lackey Eric Holder, chief law [un]enforcement official a the Dept of [no]Justice, has not been able to uncover any wrongdoing by Wall Street over the past 5 years, the CFTC ran into the same “bad luck” during its two-year investigation.


What this tells everyone with an interest in owning gold and silver is that the wheels are coming off the central bankers greed cart, and when that happens, silver will be at or above where most imagine it can go. Continue to buy and hold. It is just a matter of time. How much time will be irrelevant, once it everything falls apart, and fall apart it will.

Our latest view of the market was provided in “Central Bank Death Dance, Part I,” [here, if you did not read it]. It presents a less conventional outlook on what not enough people are taking into consideration in trying to understand why silver has not rallied strongly, based on otherwise very strong demand factors.

This article is more abbreviated for content, as a consequence, so we go directly to the charts, and even they have little to add as price moves in a sideways fashion.

The final close for the monthly chart is Monday, but unless price makes a dramatic move up or down, September has been an “inside range” bar. It has done little to erase the stronger August rally bar, and for that reason, a slight edge goes to the bulls. What is critical now is for demand to take over and rally price higher.

Sentiment aside, our expectation is for a more protracted sideways range in the months ahead. We could be wrong, but it is an “odds-on” assessment. As always, we let market activity make the final determination, as it always does.

Not much can be learned from the weekly and daily charts, so we skip to a few intra days to see if there are developing clues. The 90 minute chart shows a strong D/S, [Demand over Supply] day on high volume, 18 September. It did not go much higher, and it set up the upper bound for a TR to follow, unknown at the time.

A few days later, a counter-punch by S/D, [Supply over Demand], on even higher volume. This downside effort also failed to result in any further downside, and it held the lows of the D/S bar, a plus for the buyers.

Not much else can be said as price has since moved sideways for five more TDs, letting us know the buyers and sellers are in balance. What we also know is this form of balance inevitably leads to unbalance, and a directional move can be expected to follow as price moves further along the RHS of the TR, [Right Hand Side of Trading Range.]

Zooming down to a 60 minute chart does not offer a higher degree of clarity, but there are a few developments that appear more positive than otherwise. Keep in mind, this is an intra day chart, and the lasting effect is weaker than a higher time frame, weekly or daily.

The chart comments give what we see. As price moves further along the RHS of a TR, the market is closer to reaching an imbalance, and that is where some low-risk entries can be made, if the set-up is clear enough on the lower time frame charts.

The decline for the latter part of Friday was labored after the EUM rally early in the day. [Ease of Upward Movement]. We pay attention to the how of developing market activity, and the EUM is stronger than the labored “correction” that followed. If we had to take a stand, we would expect more upside on Monday, but that is just a non-committed “guess” because price can open lower. The market is not concerned about our “guesses,” anyway.

We remain lightly committed to the long side, but the sideways activity has not done much for the position. Plan accordingly and follow the market’s direction.

By Michael Noonan

http://edgetraderplus.com

Michael Noonan, mn@edgetraderplus.com, is a Chicago-based trader with over 30 years in the business. His sole approach to analysis is derived from developing market pattern behavior, found in the form of Price, Volume, and Time, and it is generated from the best source possible, the market itself.

© 2013 Copyright Michael Noonan - All Rights Reserved Disclaimer: The above is a matter of opinion provided for general information purposes only and is not intended as investment advice. Information and analysis above are derived from sources and utilising methods believed to be reliable, but we cannot accept responsibility for any losses you may incur as a result of this analysis. Individuals should consult with their personal financial advisors.

Michael Noonan Archive

© 2005-2016 http://www.MarketOracle.co.uk - The Market Oracle is a FREE Daily Financial Markets Analysis & Forecasting online publication.


Post Comment

Only logged in users are allowed to post comments. Register/ Log in

Biggest Debt Bomb in History