Monday, April 21, 2014
Oh, so silver looks good, eh?
IKN - me think silver look good. He thinks the chart looks buyable. Well, let's see:
Oh geez. Below $18.50, SLV loses multi-year support. And volume is dwindling, so there's no interest even at this price.
Oh geez. If you're only looking at the weekly closes, it's already about to lose multi-year support. And dwindling volume explains the lower highs. And it even failed to retake its 50-week SMA.
Last time it failed support in this sort of low-volume, lower-highs environment? April 2013. Look at it. That's the potential downside. 30% or so. What's the potential upside for this trade?
Dude, let that knife stop falling before you pick it up.