Tuesday, May 17, 2011

Silver Today

If you picked up SLV along the lower boundary of the trading range, you may have made about 2.5% today, if you used AGQ, 4.5% today.

 As this trading range is looking like an accumulation zone, there could be further dips to the lower boundary. I personally would keep a trailing stop on this one until there's a breakout above the range and we see stage 2 mark-up.

The hourly chart remains very bullish looking.

Right now, to protect profits ( I prefer to never let a green trade turn red on me), I would use some sort of trailing stop. My choice would be the trend channel on a 10 min chart for the time being, if there are further upside gains, then it will be widened. If not, then you are still taken out at a profit, if you bought  long the lower trendline.

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