Monday, September 8, 2014
Let's see how silver miners are holding up
Let's look at some US-listed silver miner charts:
Down a quarter from its peak in July, nearly -2SD, next support is $3.75-$4.25 which is another 10-30% from here. Oh my.
Hecla is -3SD, down 20% from its July high, and a print below $2.72 or so sets up a lower low. Oh my.
Silvercrest is already down 30% from its June high, it's <-2SD, and it's only another 10% to get to its $1.60 print of late May, after which you gotta wonder how much lower it goes.
My take on this?
I think a lot of people who thought themselves so darn clever for buying silver stocks are feeling a lot less clever now.
And I think the people who bought low-liquidity silver stocks are feeling even less clever, now that they've seen they're not the first ones out the door.
It'd be interesting to compare pure silver plays versus silver-zinc-lead plays; then again, I bet the zinc-heavy silver miners are also getting clobbered.