by Clive Maund
Silver Seek
Silver’s recent rally looks diminutive and stunted compared to gold’s, but that’s normal at this early stage of a new bullmarket, when silver typically underperforms gold due to investors being risk inverse, with silver being perceived as more risky and volatile than gold. Nevertheless, as we can see on its latest 6-month chart, silver did manage to break out of its reactive downtrend in force from early September. Last week, at the time Iran lobbed missiles at US bases in Iraq it had a go at breaking above its late September highs, but was not up to the task and fell back, putting in a reversal candle on big volume, which suggests that it probably has further to fall short-term – perhaps back to the upper boundary of the downtrend channel shown, but with the overall tenor of this chart positive it should then turn higher again.