Sunday, February 13, 2011

Silver follow up

After last Silver's buy trigger in our trend follower, check out how this precious metal behave:

Short term speaking, silver is correcting from last push up (note how the bollinger band is acting here). The correction may continue during this week, so be careful and use our stop trigger at 28,76.

As you may see in the picture above, the medium term chart has a trend follow model back in buy mode. However, the negative divergence of prices with volume is not a good sign. Let's take extra care here looking for the 27,05 value as a worst case scenario stop trigger.

Best to your trading,