Silver Market Update

December 17, 2006

Timothy Silvers

            The drop in silver that I was expecting came to pass on Friday, with silver losing almost $1.00 by the end of the trading day. In my last update on 12/4, I thought silver would bottom out in the low to mid $12 range. I still think that is likely. We could see a small rally on Monday, but it is more likely that we will see further price declines all week. I expect silver will find support around its 200 day moving average of $12.

            Any price around $12 or lower is an excellent reentry point. I plan to write another article at that time recommending to buy, but I'll be on vacation so that article could be delayed. The absolute bottom I would expect is $11.50, but that is a long shot. However, the last two weeks of December do not usually have much trading volume, so it is possible that silver will continue falling until January when traders return from vacation. That's my two cents worth. Have a happy and safe holiday season and best wishes on your investing and future.

 

God Bless,

Timothy Silvers

 

Disclaimer: This article represents the opinions and personal views of Timothy Silvers and is not intended to be investment advice. If you choose to use this analysis for your personal trading, Timothy Silvers assumes no liability for the direct or indirect losses you may incur due to using this article to make your investment decisions. You are totally and completely responsible for your own investments. At any given time, Timothy Silvers or his friends and relatives may have positions in silver related investments that may or may not follow the recommendations contained in this article. The information in this article may not be completely correct and accurate. Even though Timothy Silvers has done his best to review the content and accuracy of this article, he is in no way liable or responsible for any mistakes or omissions.