Alert: Silver struggles.
Exit SLV at the market …
The markets are looking ugly today. Currencies are down big. Stocks are down big. Commodities are, for the most part, down big. Silver and gold are little changed today, but I think now we should reduce some exposure here in the event we are seeing the beginning of a sustained downside move.
Silver’s technical pattern appears weak — the current consolidation appears to be rolling over and its upside appears capped. The risk is to the downside. That is why I think we should cut an run on our position in SLV (iShares Silver Trust). It is currently trading just below our break-even entry level. Details are below …
SLV(Last Price: $34.45)
SELL ALL shares of iShares Silver Trust, symbol SLV, at the market. Then be sure to CANCEL your an order to SELL ALL your shares of iShares Silver Trust, symbol SLV, at $33.00, STOP.
Depending on how things shake out this week, I may consider taking a position in ZSL (PowerShares UltraShort SIlver Fund). Stay tuned.