Silver has been in a very tight consolidated trading zone with a smaller range on the weekly charts. As price breaks below 19.50 we see there are no large buyers entering the market on the Silver futures contract. The volume on silver has also dropped off as institutional traders and large traders have decreased their holdings. Silver has been in distribution since mid 2011. The next level of support for Silver is 14.80 to 17.50, although this is a wide trading range we can see that the previous price action bounced from this area to start the run up in September 2010 that led to the parabolic move up in 2011. If silver does break through the resistance at $21.00 the next upside targets will be close to $25.00 . The chop (moving from support to resistance back and forth) has been exhausting for most traders as they are looking for the break out in this extremely tight range. Silver can be very volatile and since there is light volume be very careful as it is easy to shoot out stops. Never trade Silver unless you are using purely risk capital. Silver has many margin calls on positions that aren't monitored. 
I took on my long position at 101.50 for a daily / weekly swing trade. If price moves to break the 104.50 area of resistance then we could be looking at oil moving back to test previous highs set a few months back at the 107 and even 110 areas. Stop is in at a break even position for the moment. I am watching price as we close the week and move into trading early next week. With a move up we could see the test of the 107 area, if resistance holds I will likely take out a good portion of the position or even all of it depending on price action. Trade what you see, I'll see you at the starting line! 
Even though there is overall weakness in the stock market which normally has an inverse relation to the gold markets, we are seeing a bearish pattern in the technical charts. Gold buyers have been very weak in this move up. Although the US and world markets this week have mostly seen a correction. As you can see in this chart of NUGT which very sensitive and volatile compared to gold futures prices, we have created a bear flag. This means the market has sold from $60 to $33 a share then recovered back to 43. We are not seeing any commitment on the buyers side and as you can see the supporting trend line is about to be tested as sellers have moved in and could be taking control again. On the sell side the targets we are looking for is $33.95 this will be initial support on the move down. It would not be unusual to see it Chop in this area from $33-39 with highs to $43. If support holds here at $398 then we would be looking fro a continuation to $44 and then a further move to $49 which is the 200MA or the 200 day moving average. There are many outside variables effecting gold pricing. What goes on in the Ukraine this next week could be more of a determinate than the correction in US stocks. We shall see. Trading Gold, Gold miners in either futures or ETF's is extremely volatile. Do not trade it unless you have spent time studying the charts and have risk capital. Risk capital is money that if lost will not hurt your financial future. For many people buying and holding physical gold is an easier position as it normally turns out to be a long time ho [...] 
A great target now is the 1800.00 area of support as that is the level of the long term bullish trend line on a daily and weekly chart. Should price move to touch that area in the net couple trading days or so then I would look for the bounce there to start a possible reversal and test back up again. Should we break that area of support at the 1800 level then we could be looking at this market perhaps making a longer term reversal going into the summer months. With May upon us in a few short weeks, this could be the set up for the seasonal summer reversal to take us into the fall trading again. Trade what you see, I'll see you at the starting line. 
Watching as the light volume on the buyer side with the increasing volume on the sellers side is creating a head and shoulders on the Dow Jones Transports. For many the Dow Jones Transports are considered the leader for the S&P500 and Nasdaq. Will be watching for the consolidation to continue at these price levels. The first area of support was touched this past week with two more areas of support at 7380 and 7250 but breaking through the first level of support could prove difficult. As you can see the uptrend is still in tact in the long term and the market players have not distributed in high enough volume to cause a sell off. If we sell to 1390 this could signal an increase in seller commitment to break through the support. I am looking for this to chop around in this first area of support and resistance and further establish this Head and shoulders trading pattern. There is a good chance that the market will move up again on light volume. This could create the perfect storm for the sell off. Especially with some geo political considerations thrown in. 
