Bulls were able to blast silver through resistance centered near the $35.50 level forcing out the weaker shorts and propelling the market above $36. The volume was tremendous indicating the panic among the shorts and the strong pressure being exerted by the bulls. Once price moved above the $36 level the same persistent seller appeared and stymied the move higher.
However, if bulls can force price through this level early next week and hold it above $36, this market looks as if it wants to run to $40. Just as $30 was the level that thwarted silver for a while back a few weeks ago, so the $36 level is now serving as a similar barrier.
If it goes, so does silver. If it holds, price might well work back down towards $34 once again and perhaps set up a range trade.
"When misguided public opinion honors what is despicable and despises what is honorable, punishes virtue and rewards vice, encourages what is harmful and discourages what is useful, applauds falsehood and smothers truth under indifference or insult, a nation turns its back on progress and can be restored only by the terrible lessons of catastrophe." … Frederic Bastiat
Evil talks about tolerance only when it’s weak. When it gains the upper hand, its vanity always requires the destruction of the good and the innocent, because the example of good and innocent lives is an ongoing witness against it. So it always has been. So it always will be. And America has no special immunity to becoming an enemy of its own founding beliefs about human freedom, human dignity, the limited power of the state, and the sovereignty of God. – Archbishop Chaput
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