After months of being in a well defined DOWNTREND. A DOWNTREND is defined as a series of LOWER LOWS and LOWER HIGHS.
With today's action, silver has managed not only to break the downtrend but has established a new UPTREND. An UPTREND is defined as a series of HIGHER HIGHS and HIGHER LOWS.
Every now and then, zooming out to a Weekly Chart can be of benefit to seeing which way the wind is blowing.
On the Weekly chart, silver has been in an UPTREND with a very long period of consolidation. A move above $26.50 would be enough signal a new move to the upside on the Weekly Chart.
On December 12-13, the Federal Reserve is meeting to once again set interest rates. It appears that most market participants are expecting another "pause" in interest rate hikes. Time will tell but it is worth mentioning as interest rates effect the value of the Federal Reserve Note and silver is priced in Federal Reserve Notes.
source: JM Bullion
There has been a slight rise in the premiums on American Silver Eagles, nothing dramatic but still a slight rise.
The Weekly Chart of GOLD is looking very strong and looks to be ready for a nice run to the upside.
Like silver, gold has been in a rather long consolidation period which may be ending. A move above the prior HIGH of $2085 per ounce may be enough to signal a new run to the upside.
Peace Out and Stack On!
