Silver nears 50dma, 38.98

Silver ran right through the 38 resistance level this am (failed a couple of time yesterday).  38.98 is the 50dma we are at  38.58 this am. We need a close above the 50dma so we can build some sort of base.

If for some reason we don't get through the 50dma, and ping off of it expect a drop to 34.5 area and it will be fast as the BB's will try to put the fear of God into the recent money on the long side. If 34.50 doesn't hold then 33.20 is next. Do not get complacent with the new money you put in at the supposed bottom. We will probably get another shake out today or tomorrow, and then I think we take out the old highs (within 10days to two weeks).


Have a great day!