In my previous update on silver I expected a drop! It went up. Why? In my previous analysis I did not accept failure of the wave count rules, however since I have discovered how fractal waves work I now have a method of checking wave violation rules which in this case as with gold have been highlighted. This came to my notice whilst trialing the system on 2 minute ticks – a pattern emerged – news driven and panic buying or selling, may violate the wave count if they correct in the next fractal wave scale so below is the revised count. This is why I like to keep my stuff archived for public scrutiny! So we can check and not allude ourselves and allow us to make unemotional trading decisions based on rules and not gossip or marriage to a view, or worse pride when a trade goes against us!
So big picture now is;
And detail of the breaking below $30 is shown below! Watch for options expiry day – they will hold it over so that puts don’t get paid out – that is the sort of wave violation that is corrected in the next fractal scale!
So as I said in the previous big picture it is still set to make new lows – however timing is now early next year! And the final low is due a few years down the road as we are only about half way through this correction!