However, taking in to consideration possible Dollar Index , major such Oil and wider stock market, I think we have a major opportunity in both Silver and Gold . Though Silver could steal the show over next 18-24 months.
I only have limited price data at hand. If we had more historical price data overall view might need to be modified. However, for the next 18-24 months we have enough price data that is suggesting a very large - see in snapshot of 3 monthly chart below.
If correct then we could retest the historical high. Since the 2011 high we have correction that looks very complete and potential low could form. Therefore, long entries could be planned on either confirmation or using gradual legging in or just plain far out of the money long term call option my preferred method.
As always, you must do your own analysis for your trade planning. Would love to hear specific alternatives if you wish to share. If you like the analysis please select to follow me and the chart. Share it with others in your traders circle.
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I like your chart. Thank you. Can I ask how do you know that 4/18/11 is a 3? When I count it looks like a top- or 5. I am a novice and trying to learn. Thank you very much. Actually, I may have JUSST answered my own question... lol .. is it because the volume tells you so??? I just read that last night in my Frost/Prech EW book ... lol
You are correct that volume normally is relatively high in wave 3 similar to momentum and both decline or diverge in wave 5.
However, with silver I don't have access to longer term historical data. So from what we have at hand you could be right in that it is a 5 wave move or as I have suggested 2011 top could be larger wave 3 but not of 5 wave but rather a zigzag suggesting that it is part of larger ending diagonal of 3-3-3-3-3 construction. If correct then we should see another zigzag up to retest last high or make new higher high completing a much larger cycle.
We will get more clues with price development.
Hope this helps.