An image of a smartphone and a pen
Markets

Silver ETF Ready to Break to New Highs

iShares Silver Trust (NYSE: SLV ) - At the beginning of January, I cautioned , "Precious metals have led most other groups with SLV advancing almost 70% in four months. The uptrend line is now so steep that it will be difficult to maintain, and a penetration on profit-taking is to be expected."

At that time, I recommended that traders who owned this exchange-traded fund (ETF) sell at least part of their position due to the "strong likelihood of a correction."

SLV was at about $29 then, but instead of pulling back, it launched to a new high at over $36. Now at $35.30, it is picking up buyers again, and last year's relationship of a bearish dollar versus bullish precious metals appears to be gaining momentum.

It is time to buy silver again with the expectation that it will break to a new high with a trading objective of $40-plus.

If you have questions or comments for Sam Collins, please e-mail him at samailc@cox.net.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.


The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

In This Story

SLV

Other Topics

Stocks