Good Silver Short Entry Point Presenting Itself? 8:30PM CST 6/5

(Chart 1 - Daily Silver ZOOM)

I am bearish paper silver (such as ETFs and futures) for reasons detailed here on Friday.

37.50 is the overhead line in the sand ultimate resistance.

However we just had a nice run up into a Fibonacci cluster at 36.80(62% of May 11 high to May 12 low)-36.96 (50% of May 26th high and Jun 3rd low).

I think this area can be sold with targets from this post here still valid

WTI Crude Oil Daily Chart Weekend Look Ahead 6/5

(Chart 1 - WTI Crude Daily ZOOM)
(Chart 2 - WTI Crude Daily)

As expected, crude oil is making a battle around the $100/barrel level.

It looks like it is starting to form the 2nd shoulder of a head and shoulders (H&S) pattern.

The light blue bullish uptrend was in place well before this H&S developed.

However, it tracks the "neckline" of the H&S perfectly.

This line, as well as the midpoint of the current bearish channel (magenta dotted line), provided good support on Friday. We then rallied back over 100.

I personally sold this rally and feel crude will hold under 101. I need to see it close under the light blue uptrend line before a close over 101. Should this happen, I look for a test of the 95-96 area that has shown tremendous buying strength in the past. However, I feel if we get there again, we will get through it and test roughly 92.50. Also, I think if we get to 94 or less, any subsequent rally can be sold with 95-96 being very strong resistance.

SnP Daily Chart Weekend Look Ahead 6/5

(Chart 1 - SNP Daily Zoom)
(Chart 2 SNP Daily)

We finally broke out of the 1308.5-1347.75 trading range, closing at 1296.25.

This is significant support as it is the conflunce of:

-Bottom of current bearish channel (orange)

- 38% retrace (shallow Fibonacci) of Nov 2010 lows to May 2 high

-62% retrace (deep fib) of March 2011 "Japan" low to May 2 high

However, 1308.5 is now the ultimate resistance. (keep in mind they can exceed it by a few points intra day, but a close of 1310+ gives me serious pause about this downtrend continuing.)

Readers know, I have been short the last few days.

I covered a good chunk of my position towards the end of Friday.

I see us getting back up to 1305-1310 soon.
I will be using such pops to add to current shorts and target 1290 and ultimately 1273

Crude Oil (CL) Struggling to break support 6/3

Crude oil hourly chart on the left has shown some problems getting through a major support zone (@98.20-98-40) for the last couple days even with lots of bearish news coming out. If you have been short already this might be a good time to pull some off as there is a good chance this will hold. If we can finish in the low 99's I think we will eventually break through this support next week, but if we have another strong finish like yesterday, than be weary and light on any short position.

Silver to Make Leg Lower? (Update) 6:53AM CST 6/3

(Chart 1 - Silver daily zoom)

(Chart 2 - Silver daily)

In this post here yesterday here is what I said silver about going down for the near term.

"Dont sell here if you are conservative

Just keep this in mind for if it breaks lower then comes back up to the blue channel line (6/2)"

3560 is the bottom of the blue up channel

3555 is low of yesterday

We are currently at 3558 at 6:53AM CST

I think its a sell with the current risk and profit and pyramiding discussed in that past post linked above.

RISK ON!!!!

Risk on... risk off... risk on... risk off....

Greece worked out a deal??!?!
RISK ON!!!!!!!! Start kicking that can!!

(gold, stocks, euro, oil all jump a bit on the news.....)

... Hopefully tomorrow's NFP forces the market to make up it's collective risk off risk on mind...

EDIT: or they didn't work one out so risk off? who knows...

Ive made my bets. Short financials, semis, gold, and WTI crude(long faz, soxs, gll, and dto going into NFP tomorrow)

Can we get a sub 100k print tmrw in jobs?

This rat soup eatin mofo sure hopes so ;)

Silver to Have Significant Downside Correction? 10:50 AM CST 6/2

(Chart 1 - Silver Daily Zoom)

(Chart 2 - Silver Daily)

3750 is now the ultimate line in the sand resistance.

3594 was short term support

We are under that now (3584)

Short term support is the low of the blue bullish up channel (currently at 3550)

I see us getting through that in the next few days and testing 3440

If we bounce off of 3440, rallies into the 35-36 area can be sold for a move down to 3280.

Should we get though 3280, we are going to 2970

Long term I like buying physical silver as a hedge on my savings account (yes I'm one of "those"). However, I think it will correct to under 30 in the next few weeks - months and present a favorable entry point before another leg up.

Basically right now, I bet we see 30 before we see 38 (at 36, currently a 3:1 bet), but we will need to get under this blue bullish channel.

Dont sell here if you are conservative

Just keep this in mind for if it breaks lower then comes back up to the blue channel line

If you are aggressive and want to sell upside tests of 36 right here for an eventual break of that blue line, then be my guest ;)