Silver Is Close To Something Big / Commodities / Gold and Silver 2021

There is a sense that we are close to asignificant move in silver. The current season since August 2020 till now, isshaping up in a similar manner to the season of August 2019 to February/March2020.

Silver as well as the stock market peaked inFebruary 2020, and crashed significantly into March.

Below, is a chart of silver (top) and theDow (bottom):

On the silver chart, I have indicated howthe current season is shaping up like the previous season by marking thesimilar patterns from point 1 to 5.

On both patterns, point 4 came in right atthe beginning of the year (2020 and 2021respectively). If the two patterns onthe silver chart continue in a similar manner, then we could see silver crashmuch lower like it did in March 2020.

However, if the patterns diverge, then wecould see a move higher that is similar to the the move from about July 2020(It is often the case that the big moves come when significant patternsdiverge). The red and green lines are my feeling of what would constitute adivergence or a continuation of the similarity.

So, a breakout at the green line wouldsignal a divergence, and confirm a big move higher, and a breakdown at the redline would signal a continuation of the similarity, and confirm a big movelower.

The odds overwhelmingly favour a move higher over the next couple of months. Ibelieve the Dow is key to how (and when) it all plays out.

It is significant to note that silver andthe Dow has been moving in similar direction at least since 2019. At some pointthe two are bound to diverge (although they could move together for a whilestill).

Based on my previous work,silver get its best rallies when the Dow is declining or going nowhere. Ibelieve a Dow crash (top) is what silver needs to really go much higher. Theinitial part of a Dow crash could shake silver (even this is doubtful given thecurrent state of the silver market), but it will then soon spike higher.

Even the next chart shows that a Dow peak(or crash) is the next piece needed for a sustained silver rally.

We did not get a nominal top in 2020, butcould it be this year? The next couple of weeks we are likely to see aresolution. These are crazy times, so expect some crazy moves.

For more on this and this kind of fractal analysis, you arewelcome to subscribe to my premium service.I have also recently completed a Silver Fractal Analysis Report aswell as a Gold Fractal Analysis Report.

Warm regards,

Hubert

“And it shall come to pass, that whosoevershall call on the name of the Lord shall be saved”

http://hubertmoolman.wordpress.com/

You can email any comments to hubert@hgmandassociates.co.za

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Disclaimer: The above is a matter of opinion provided for general information purposes only and is not intended as investment advice. Information and analysis above are derived from sources and utilising methods believed to be reliable, but we cannot accept responsibility for any losses you may incur as a result of this analysis. Individuals should consult with their personal financial advisors.

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