Near Term Bounce In Silver
Posted on 10/30/14
- Silver decreased from 20% to 9% Bulls on 10/30/14
- Since 2006, Silver lost >9% Bulls and closed <11% Bulls four other times
- Those dates were: 02/04/10, 12/14/11, 04/12/13, and 06/20/13
Looking at those dates, it appears as though Silver has more work to do on the downside. The shallowest decline was >4% below the previous close (in some cases, much deeper). That being said, buying the next selloff was a good move and resulted in at least a 7% countertrend rally.