PSLV Chart Request

Interestingly, after 4 nearly consecutive margin hikes in silver from the CME, there are rumors of more coming down the line. However, theres a source of new competition on the block from the Shanghai Exchange who have actually lowered silver margins and are floating the idea of another drop in margin on silver at the end of business today if silver doesn't show any wild volatility. The CME seems to be operating more like the tax system, once there's a hike, it's there to stay despite what fundamental conditions may have changed.

Here's a look at PSLV which I now favor over SLV for trading.

 PSLV 15 min. is showing a positive divergence into a lateral environment with both divergences occurring at support.

On the hourly chart, there are also 2 positive divergences (although not as well developed as should be expected with the longer timeframe). Again, both divergences occurred when PSLV touched support. It appears as if PSLV is under an accumulation cycle, the question now is how long does it last. It may be worthwhile if you like trading silver, to start building a position whenever PSLV is near support around the $15.50 level. Do be aware that $15.50 is a very obvious stop level and stops may be run before a move higher begins.