Silver parabolic move started at $40 a few days ago: 2011-02-22

Silver has started its parabolic move at the price point of $40 a few days ago (see chart). Up to that point the price was still below the original trendline extended from the 10 cents/day rissing trend channel in August/September 2010 that also contained the intermediate top on 2 January 2011. There has been a clear break above this now.

For how long will this continue? It has been in place only for about 7 trading days.

If there is a blow-off move, will that be THE top in silver or just an interim top? And where will the top be? Unless the move breaks quickly, $50 might be reached next week, then what? Such a move could go to 60, 70 or even $100 if this is like the 1979-1980 move.

However, the weekly chart looks scary. We are now 8 months into the breakout above $20 starting at the end of August 2010.

The weekly chart looks a bit alarming and maybe the parabolic move started a bit earlier, maybe 5 or even 13 weeks ago when the 18.9 cents/day trend started after the correction to $26.38.

In the last few days, silver seem to be in a dollar a day trend. Get up, silver goes up 1 dollar, go to bed again. There has to be another correction in there somewhere surely, after 7 consecutive daily white up candles and 5 consecutive weekly up candles!


Be assured, as soon as I put on my next little spreadbet to go long on silver, the correction will start 1 second later!

After watching Jim Sinclair's gold market analysis DVD, I would probably put power uptrends on a silver chart, something like this:

When will it end?