SLV ETF looks set to reach and work through the 19$, while the silver futures contract now looks set to reach 20.50$ at the end of this multi-month rally cycle before the next severe correction is expected to start.
Above is a weekly GUNNER24 Up Setup starting at the # 1 // 2020 Low // next lower secular bear market low. Current bear market low, that started at year 2011 and 50$, is at 10.86$.
Since it is a so-called spike low, where extreme bear market exhaustion probably kicked in, the current upward movement is V-shaped and an unusual steep one. Therefore, it is allowed to say that a strong rally cycle is triggered at this years bear extreme.
Since we are also repetitive pattern traders, we can now fully speculate on this:
A) the 2020 Rally Angle should continue to support the price over the next few weeks after the new year high and highest weekly close in 2020.
B) 2020 Rally Angle should continue to chase the price upwards into some more higher annual highs - until it fails to support on weekly closing base.
C) Last but not least, the 2020 Rally Angle offers nearly perfect and safe long-entry into SLV ETF/silver if getting tested at 17.29$ in course of the next 5 trading days.
My trade recommendation:
==> Go heavy long SLV if at 17.29$ till next week Friday! And expect this to happen afterwards:
==> In the weekly chart I have two valid GUNNER24 Up Setups for SLV. Both start at # 1 // 2020 Low. First we pull the weekly up setup into this important 2020 rally intermediate high:
Weekly 5 Candle up. 5 is Fib number. Top of # 5 marked the first important intermediate high of the 2020 rally as it is a spike high, signaling a shortterm bull exhaustion. The rally starting at # 1 with next week candle will be at candle # 18.
Please recognize that the opening auction of rally week # 17 skipped the main resistance area of the 1st double arc area. This bull event raised some more bull power and as a consequence market reached new highs & highest week close in 2020 and thus this # 17-close SLV managed to close far, far above the 1st double arc and for very first time above that weekly threshold, that was main resistance area for about 6/7 weeks.
Upper line of 1st double arc is now unusual very strong future arc support in the weekly chart.
A new daily breakout rally that began at this week bullish opening auction should continue into fresh activated weekly GUNNER24 Uptarget of lower line of 2nd double arc.
This fresh activated weekly SLV uptarget – after this week recognizable mighty bull power – usually will be worked off quickly and without much disruption as the rally cycle starting at year low now seems to be oriented to a 21/22 week candles lasting run. 21 is Fib number, possible turn number and the 22-1 is also 21 possible Fib turn number/next due important time magnet for this rally cycle.
==> First imminent weekly SLV uptarget is the lower line of 2nd double arc above. The imminent price target is the 18.65$, there and then where price and time define obvious, imminent future uptarget resistance magnet formed by:
1. Lower line of 2nd weekly uptarget. 2. 2020 Rally Angle what intersects lower line of 2nd for likely due rally weeks # 21/ # 22 at the 18.65$.
This next weekly 3 Candle up setup is another possibility to illustrate the power of the newly triggered rally phase:
The recent 6/7 week consolidation shy below former rally highs was triggered by the overall strong resistance of the 2nd double arc environment.
This week # 17-low shows a textbook accurate, successful test of upper line of 2nd double arc from above. And as at the same time and the same price also the 2020 Rally Angle was tested back again very successfully this week low was at major double support magnet of the rally cycle and this bull event raised some more bull energy and as a consequence market printed new highs & highest week close in 2020.
Upper line of 2nd double arc should have morphed to unusual very strong future arc support in the weekly chart.
To sum up the bull energy we count that the week close was a for the silver very, very rare COMBINED WEEKLY GUNNER24 Double Arc buy signal as within 5 Candle GUNNER24 Up the for 6/7 week candles braking 1st double arc and within 3 Candle up the for 6/7 week candles down slowing 2nd double arc resistance area are finally overcome in 1 go!
Or, this rare uber-strong looking silver buy signal and massive powershot together with likely continuing strong upward pushing 2020 Rally Angle let it seem plausible that the SLV could even reach the 19$, because the lower line of 3rd uptarget above then and there unites with the 2020 Rally Angle for likely due rally weeks 21/22-1=21 Fib number activated time target.
But in any case the 18.65$ to 19.00$ around mid of August 2020 seems to be a major GUNNER24 Uptarget Resistance magnet for the SLV ETF...
... what will most likely have the power to force the price of silver at least into a next extended, stronger correction cycle.