Silver breakout attempts over the last 3 years gold did not successfully break above $1375 – THE single most important price point for the whole gold market – but finally did so this past Thursday making it one for the history books. That’s why we strongly believe that this time is different.
The silver price chart embedded above says it all:
- Silver’s breakout is convincing. It looks solid, even though this is just the first day. We need more data, and we want to see 3 consecutive daily closes combined with 3 consecutive weekly closes above $15.20. Previous attempts for silver to break out did not start on such a strong note. This looks very promising with the start.
- Silver’s breakout comes together with gold’s break above its 6 year bear market wall. This is crucial, and never before in the last 6 years did this occur.
- Silver is seriously undervalued compared to gold. Note that silver trades at 10-year lows while gold is now at the same price level as 6 years ago.
As silver is the ‘restless metal’ we expect a violent upside move in the silver market, not only in the silver price but even more so with silver miners…
This market looks gorgeous, and has lots of upside potential in 2019.