The March contract is poised for a breakout above an ‘external peak at 33.330 recorded in mid-December. This would be quite bullish since it would activate a larger pattern that projects as high as 36.240. My minimum upside projection would be 34.46, the large pattern’s secondary Hidden Pivot. The breakout was telegraphed a month ago when March Silver struggled to reach a 28.245 correction target. The futures went no lower than 29.145, implying that sellers were too depleted to finish the job. The more or less inevitable rally that followed was extremely choppy, suggesting there were plenty of skeptics and also daunting supply. Once above 33.33, however, bulls will have a clear path to highs above 35 unseen since 2012.
SIH25 – March Silver (Last:32,530)
