Gold/Silver Fulfilling Projected Nov ’22 Surge; Overall Rally into 1Q ’23 Very Likely!
11/09/22 Weekly Re-Lay Alert – “Gold & Silver extended their surges to begin the week, reinforcing the outlook for a sharp rally into Nov 11 – 16… when the next high is most likely…
Silver has been steadily gaining ground since Sept 1, setting a series of four successively higher lows, while Gold has been in a bottoming phase after fulfilling a 66 – 69 day/~9.5 week high (3/08) – low (5/16) – low (7/21) – (low; Sept. 26 – 28) Cycle Progression with its late-Sept low.
That low has held during two successive tests, ushering in the time (after the first 3 trading days of the new month) when an accelerated rally was most likely. That quickly took hold on Nov 4.
Silver has been leading the way, projecting an overall advance from Sept 1 into at least mid-Nov and potentially into a convergence of weekly cycles in late-Nov/early-Dec ’22.
The fact that Silver took longer before breaking above 21.00/SIZ increased the upside potential for that ultimate breakout (which has just taken hold). This should spur a quick surge above 23.00/SIZ and is likely to extend that rally up to 24.50 – 24.90/SIZ. (Several daily LHRs surround the weekly LHR, making a surge above 23.00/SIZ still possible this week.)
Since early-July, Silver has also traced out an inverted head-and-shoulders with the neckline at ~21.00/SIZ (left shoulder = July 14 penultimate low, head = Sept 1 ultimate low, right shoulder = Oct 14 secondary low).
That also forms a type of range-trading pattern in which a close above 21.00/SIZ projects an equi-distant move as the ~3.50/SIZ range between the neckline and low – projecting a rally to ~24.50/SIZ.
24.50/SIZ is also where Silver initially found support after its early-March peak. The next level of support was ~21.00/SIZ… and then ~17.50/SIZ.
(On a weekly-close basis, Silver has traded in ~3.00/SIZ ranges since before the March ’20 low – with parameters at 12, 15, 18, 21, 24, 27 & 30.00/SIZ. As a result, the likely scenario for a peak would be an intra-
week spike up to ~24.50 and a weekly close at or below 24.00/SIZ – during whatever week that takes place – to reinforce that next target range.)
Platinum is trading similar to Silver and is also validating the outlook for a strong rally in Nov ’22… as a precursor to an even stronger rally in early-2023. Platinum bottomed while fulfilling a 12 – 13 week low-low-low-high-high-(low) Cycle Sequence in late-Aug and has steadily gained ever since.
Platinum thrice closed above its weekly 21 High MAC and has turned the direction of that average up, reinforcing the outlook for an initial rally above 1040/ PLF and potentially to ~1130/PLF.
The XAU & HUI are rallying after retesting support (and the XAU’s range target near 95.00). They remain on track to surge into mid-Nov and set an intermediate high by/on Nov 11 – 18, ’22… when weekly cycles converge.
Initial upside targets are at 117 – 120/XAU & 224 – 230/HUI… with extreme targets (for Nov ’22) at ~130/XAU & ~245/HUI.”
Silver is validating projections for Sept ’22 shift when Silver begins to overtake Gold (reversal in Gold/Silver ratio) and sees stronger rallies due to multiple factors. Silver has confirmed a 6 – 12 month bottom (Gold has not yet concurred) and is projected to see an overall advance into 1Q ’23 with the potential to surge as high as 24.50 – 25.00/SI before the end of 2022. Platinum is showing similar signs of developing strength and should rally, on balance, into Jan ‘23 and ideally March ‘23.
What Would 2022 Test of 24.50/SIH Mean for 2023?
Will Platinum Surge with Silver?
What About Gold… and its Outlook into Late-‘23?
Refer to latest Weekly Re-Lay & INSIIDE Track publications for additional details and/or related trading strategies.