SIL (Global X Silver Miners ETF) was posted as a objective entry on Tuesday while backtesting the recently broken descending channel. The miners decided to make a second, marginally lower test of the channel yesterday and are rallying hard so far today with the sector up nearly 6.5% as I type.
I’ve added two price targets to the updated daily chart (T1 being a target zone of resistance) as well as a minor resistance zone that could possibly produce a reaction, for those wishing to book quick gains if we get there soon. As today’s impulsive move higher helps to validate & confirm the successful backtest of the channel, prices should remain above yesterday’s low of 12.00 in order to keep the charts clearly bullish. Therefore, consider raising stops to just slight below that level (11.90-11.93ish area) from the previous suggested stop of a daily close below 11.60. As/if SIL begins to approach those target levels, I will try to post some specific suggested profit taking levels. Updated daily chart.