Silver About to Break Out Big!
Source: David Banister, Market Trend Forecast (9/3/10)
"Silver is about to stage a pretty large advance."
The triangle pattern has taken nearly nine months so far, and a move over $19.50 could start a multimonth run targeting $26–$29 per ounce for starters before a broad pullback. A few silver stocks worth looking at include SLW (Silver Wheaton, which purchases future silver mine production in advance at a discount)—a long-time favorite of mine, and Fortuna Silver Mines Inc. (TSX:FVI; Lima Exchange:FVI)—a growing producer and explorer favored by some of the brightest minds in the business. I do not own shares in either, so I have no inherent bias to mention them other than they are worth your time to review sooner than later. TMTF does not offer stock or trading advice, so please do your own research and consult a professional if need be.
I post the silver chart below and my outline shows my views of a multi month 5-wave bullish triangle pattern on a weekly chart. Silver needs to bust through $19.50 per ounce to confirm, but I suspect we will see this fairly soon.
Consider subscribing while our charter rates are still in effect! Check us out at www.MarketTrendForecast.com.
David A. Banister
Chief Investment Strategist and Founder
Market Trend Forecast