Daily Chart shows as if it looks as if we now have an appointment very soon with forty-two dollars. I kind of think it would be the next candle that would so such a thing or Wednesday's session, but that's no where near a guarantee, but how this is playing out. Today broke the six day streak of having the silver price go below $40 and above $40 within' each session and because today the lowest point was $40.05 that streak came to a close today. This is showing how well these areas are holding these major support levels. After a nice breakout earlier from the mid thirty silver level it found a resistance point at the upper band and then it had a four candle sideways consolidation that it has now broke. Two days above this and now nine holds above $38.11 giving enough confirmation that the bear market is at least over and thus the market should go bullish or head neutral, but most likely bullish.
Quarter Day chart is looking as if this market is ready to get going and have another leg higher as it really needs to clear the resistance level at forty-one per ounce, but it has lifted from the blue band which represents the five day average. The test of the five day average is still in play and has been tested for over five days. It will be a passed test if the market can have at least one more leg towards the opposite and move away from this average. It will fail the test if it is not support and it establishes a leg lower and the five day average thus turning lower. Instead it has stayed within' the blue band as well sometimes a little above it and sometimes a little below it. These are all normal things that can occur when these types of moving averages get tested. Currently the upper-band is forty-two which is also the area where the big fibonacci resistance level is found on the daily chart as possible resistance areas.
At 4pm the fifty day low remains $32.90 and this means silver is 23.92% above this line and now giving signs of again bullishness on this chart. What I like about this chart is it gives you distinctive areas for where the markets are breaking out of previous conditions that were correctional. The move from fifty to thirty-two was definitely a price correction and although it is looking more and more each day that the $32.32 mark is the bottom that the indicators are stating it could have a decent run up very soon. There is no guarantees on these charts and there never is, but what they merely do is give indications to price direction.
When looking at the shorter view of the exact same chart it has developed a resistance level exactly for where we are at as it needs to get above $41 to show confirmation. Fiboancci still says it needs to have a confirmed break above $42 to make the move fifty to thirty-two to become a failed move. Ultimately it is one hundred percent that selling a few months back will be a failure and the question now remains is when will it fail and if the dollar is going to fail to have the status of "money" with the combination of debt the likelihood of silver value priced in fiat dollars to go higher is outstanding. That is why I truly feel I am cheating on here with these silver charts because the ultimate outcome is not in question.