MoMoney : Silver Chart Price Predictions

I always start these posts off with my standard disclaimer, I know squat about technical analysis and reading chat trends.  However, Mo Dawoud, in his MoMoney Blog explains the charts and trends of the Little zig-zags on the chart. This months silver chart  is in and Mo stated that  it was a disappointment. After climbing above the first hurdle at $19 per ounces, it stop at nearly $19.80 before dropping down to below $18.00 per ounce. I was hoping silver would jump over the second resistance at 20, but formed a new resistance level at 19.50 instead. Nonetheless, he still believe silver will finish above $21 before the end of the year and the “big players” on wall street will join the party once quantitative easing appears. This will cause massive inflation and investors will flee to the hard asset like Precious Metals

He doesn't believe there will be a hard downtrend for silver  since the fundamentals for silver is so strong that the price of silver could reach at least the triple digit by the end of the decade.  Current prices are  being manipulated by the big banks on Wall Street. They perform naked shorts in the silver market to depress the silver price and to prevent investors from dumping the US dollar for silver.The volume is light so I don’t believe the “big players” left this game as well. As a silver investor, you will have to be patience and focus on the big picture. The big picture is the upcoming inflation and the strong industrial and investment demand for silver that will boost the price a lot!

To see the charts and read Mo's analysis go to MoMoney blog.