Silver update

Silver is looking bullish, but just how bullish? This article looks at the internals on Comex for an answer, putting technical factors into a trading context.

I start this note with silver’s technical chart, which any technical analyst will agree is very bullish, particularly since silver is challenging new high ground in this particular timescale. It has been higher in the past, notably 2011—2012, when it peaked at $49.80 and the situation was nothing like that of today. We can therefore confidently assume that past levels don’t matter, and for all intents silver is marching into new high ground.

The purpose of this article is to attempt to sift out speculative demand from the more stable. We shall look at positions on Comex as revealed by Commitment of Traders figures.