As you know, we have been tracking all the various charts during the week, and they are all at different segments of their counts. But, the one chart I had noted a few weeks ago (after it broke down) which concerned me the most in the shorter term was the silver chart. So, I think I am going to focus on that chart during my mid-week update, as that could very well be the “tell” as to how the action in the next few weeks can take shape.
As you can see, we have certainly moved through the 1.00 extension at the 18 level I noted this past weekend. But, we still do not have another 5 wave structure off the recent lows. And, should we complete that over the next week, then I will likely be taking a more aggressively bullish perspective on the complex.
Currently, the market is trying to complete a micro wave (3) of wave 1 off the recent lows. The target for that would be in the 18.50 region. But, even if we do get there, we would still need to see the market hold the 18 region for a micro wave (4) pullback, and complete the next 5 wave structure towards the 19 region before I can become even more bullish.
Alternatively, should the market break down below support at 17.80 (which will be raised to the 18 region should we strike the 18.50 region), that would open the door to the more protracted 2nd wave in the a-b-c flat structure, as outlined in the yellow count.
So, I will be watching silver very carefully over the coming week, as I think that will give us a strong indication of just how bullish this market is right now.