Since breaking the 2012 lows of 2615, silver fell $8 into lows of 1817 by June of 2013. Since this low, silver saw a $7 squeeze up to 2512 by August of 2013, only to fail and turn back into the lows. This has created almost 1 year of sideways action as the market has wound up against the lows. Short term silver pierced its long term trendline recently to make lows of 18685 before bouncing back above 1900 in attempt to hold the 2013 low. This bounce offers aggressive traders a low risk buy level at 1925 with sell stops under this 1868 low to see if buyers can reverse above 1990 to target stops above 2040 and attempt a run at the 2014 highs. A move through the 2014 highs reverses the downside momentum and gives room to target the 2013 highs for a retracement back to the 2012 lows. In short, the recent lows gives aggressive buyers a low risk attempt to long market for move through 2014 highs. Failure to hold recent lows gives way down to test next major support down to 1700 to offer a major swing long opportunity.
RISK DISCLOSURE: PAST PERFORMANCE IS NOT INDICATIVE OF FUTURE RESULTS. THE RISK OF LOSS IN TRADING FUTURES AND OPTIONS IS SUBSTANTIAL AND SUCH INVESTING IS NOT SUITABLE FOR ALL INVESTORS. AN INVESTOR COULD LOSE MORE THAN THE INITIAL INVESTMENT.
