As complicated as gold has been, Silver has been even tougher on the charts.
Not everything you see on a 3C chart means something, it's when there's a trend, there's confirmation of timeframes and between multiple equities that you get your best signals, silver has lacked all of that.
One thing I wanted to point out on this daily chart is the role of volume analysis which is quickly becoming a lost art with everyone introducing some new technical indicator in every new book or magazine article. Price and volume are key. SLV shows what volume should look like in an uptrend, it should expand as it does. In a consolidation, it should diminish as it does here. The consolidation is tightening and volatility is getting very narrow suggesting a highly directional move in silver coming soon. You can't always trust the first move and we'll cross that bridge when we get there. Overall, this is a bearish pattern on the daily.
Looking at PSLV 15 min, you can see a cycle ending and a new one starting, but there was limited accumulation on the current cycle, although the divergence stretches over a week or so, the actual accumulation looks to have only taken place around 6-13 to 6-14. Right now PSLV is in line with price and trading slightly positive on 3C.
SLV 15 min looks the same, although it has a bit stronger of a current leading divergence.
The problem is the lack of confirmation, like the negative divergence on this 10 min. chart.
Or on this 5 min chart.
The daily chart of PSLV shows 3C moving down while price has moved up the last week or so, albeit a minor advance.
SLV shows the same thing.
In the scheme of 3C timeframes, the daily trumps the intraday charts unless there is a lot of confirmation in the intraday charts. This is why I haven't been a fan of trading either silver or gold. We want high probabilities, not best guesses and right now, this is a best guess trade.
