Silver Prices May Break Through $275/300 Level Amid Wave Counts
The SilverSeek analysis suggests that silver prices may be on the verge of a significant upswing. According to their charts, wave iv of the larger wave iii correction has potentially ended at $54.77. If this is correct, then the market should move higher in wave v and within that wave, still rally in wave -i- of (i).
An alternate count suggests that only wave (a) of iv is complete, meaning the market will continue to rise in wave (b). Wave iv could also be a bullish triangle, flat or irregular type correction.
The Captain's 60-minute GDX chart shows that within wave C, they are moving higher in an incomplete impulse fashion. They have broken above their red downtrend line and are now moving higher in wave (v). A wave .ii. correction is expected after the end of wave .i., which will retrace between 50 to 61.8% of the entire wave .i. rally.
The CDNX chart also shows a long wave -ii- correction, which has completed at $506.65 low. They are now rallying in wave -iii-, with an initial projected endpoint of 1773.38. Within this wave, they have already completed wave (i) and are now working on the assumption that all of wave (ii) is complete at $839.44 low.
The trading recommendations for silver include going long PSLV:TSX and silver futures with puts as stops, while the CDNX has a flat recommendation but likes the juniors' wave counts. The focus is on the senior miners for now.