Silver Is Set To Explode

A large scale sell-off materialized in the silver market in mid-November after the CME Group (CME) raised silver margins. The iShares Silver Trust ETF (SLV) fell from over $27 to under $25 in a matter of days on very heavy volume. It looked like a top had been put in after a heady run in the precious metal.

The SLV, however, has now retraced that move despite the fact that the U.S. Dollar has been climbing on a near daily basis. A stronger dollar should be putting a cap on the silver market, and that is not happening. This is a very bullish signal that the price of silver is going to continue to climb as we head into 2011. Look to get long the iShares Silver Trust ETF in the coming days.

Silver Is Set To Explode originally appeared on BloggingStocks on Mon, 29 Nov 2010 18:00:00 EST. Please see our terms for use of feeds.

Permalink | Email this | Comments