http://news.silverseek.com/SilverSeek/1287239018.php
I decided to look at the weekly silver chart on stockcharts.com because there seemed to be a likely inverted Head and Shoulders pattern dating back to March 2008, with a breakout in August 2010. Here is my annotated chart:
Anyway, the target here would be around $30 if the Head and Shoulders were to be considered as valid; $30.60 if you take intraday prices, a little lower for weekly closes. The inverted Head & Shoulders is a huge formation, 30 months in the making.
This chart is similar to the first (silver manipulation timeline) chart on the goldtrends analysis on silverseek.com / goldseek.com page linked above. Interestingly, that chart showed daily ticks and, looking at the left hand side, you can see that $19.50 was a key level during for 30 months - it was actually support in March 2008 after the breakout. That support was tested successfully on one occasion and then broke down after gold and silver topped in the credit crunch when Bear Stearns was rescued. Thereafter, until a couple of months ago, $19.50 was resistance!
I was interested to see the fourth chart in that article. It also points to a target of $30, considering the 'upper momentum line' of that chart. Two analyses, same target, not a guarantee but an interesting agreement!
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