The last few sessions have been very exciting in silver.
On the Daily Charts silver had been in a downtrend. A downtrend being defined as a series of LOWER LOWS and LOWER HIGHS.
Today silver technically ended the downtrend on the Daily Chart by posting a HIGHER HIGH than the previous high.
The last two sessions have been really exciting however silver has yet to establish an UPTREND on the Daily Chart.
An uptrend is defined as a series of HIGHER HIGHS and HIGHER LOWS and thus far silver has only posted a HIGHER HIGH and a LOWER LOW which by my feeble reckoning makes the silver market NEUTRAL.
Now to the Weekly Chart on silver.
On the Weekly Chart, silver remains in its well defined UPTREND.
So what changed in a mere week?
Last week, I mentioned the most important chart to track and that was the 10 year yield chart.
Yields on the US 10 year treasury came crashing down.
And with the drop in the yields, silver and stocks all went higher.
But there was one asset that took a brutal beating!
So I must ask a serious question.
Did the value of silver go up? Or did the purchasing power of the Federal Reserve Note go down?
source: JM Bullion
The premium of the American Silver Eagle remains elevated but steady at $15 per ounce.
There you have it.
Peace out and Stack On!