Friday, August 23, 2013

Friday's Update on $SLV

Point & Figure Charts are really good at identifying a stock's stage.  That is, accumulation (Stage 1), advancing (Stage 2), distribution (Stage 3), and selling (Stage 4).  For $SLV, its current stage is "selling, or Stage Four."  That is why the recent rally would simply be categorized as a throw-back to resistance at $24 to relieve an overbought condition within a Stage 4 phase, which is clearly observed with a Point & Figure Chart.


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