Silver going strong

[Weizfx]

The silver is following the gold and it already gained more than 20% since the beginning of the year. The current resistance is at $34.5, close to the 200 SMA, and the directional indicators are showing an obvious overbuying situation, which increases the chances for correction down. However, the warning in the gold is valid here as well- do not try to predict when or where the correction starts and keep in mind the possibility that the silver might break through the current resistance and hit $36. In orders to start the correction, the sellers will have to break-down the support of $33. In this case, the silver might fall $31 and even below.

silver0702.jpg

[lavinbatra]

I think Silver is consistent from many days, if it falls some time then for another day it becomes upwards.