|Nov 1st SLV|
SLV currently has made higher highs and higher lows off of the break last week and is trading above the 15 day moving average. A fibonacci 161.8 level is around the $25.5 area which may be reached this month. The base fibonacci levels were taken from the lows in 2008 to the Dec high in 2009.
There is a FOMC meeting this Wednesday that may impact the markets. QE2 is on the way, we just do not know how much money they will be printing and for how long. The bottom line is that any money that is printed out of thin air bodes well for commodities in general.
The Silver to Gold ratio has been dropping over the last 2 months and if is continues to drop, expect Silver to rise even though Gold is flat.