Silver ‘Sweet Spot’ Reinforces Potential for Future Oct ’23 Surge & Peak.
07-31-23 – “The latter stages of that interest rate cycle, as described in late-2022 and early-2023, are also often when the Dollar loses value as the perceived support of repeated future interest rate hikes – which help support its value – begins to wane.
That creates a bullish ‘double whammy’ (a highly technical term) for a market like Silver… a carrot and a stick, without the stick.
The removal of negative interest rate influence and the increasing addition of positive Dollar action (dropping) combines to support Silver during that phase of an inflationary cycle.
There is also a third factor that is likely to create a ‘triple whammy’ in the coming year(s).
In late-2022, wave action, price indicators, trend factors, fulfilled downside targets, multi-month & multi-year support levels, and other bullish factors corroborated that ‘sweet spot’ analysis and signaled a major low in Silver.
It is important to fully understand the potential ramifications of this since they could be profound and somewhat-longer lasting…
Multi-year cycles were bottoming in late-2022 as Silver was signaling a secondary (higher) low and projecting what could be a 2+-year rally.
The April 11, ’23 The Bridge – Gold, Silver and Elliott Wave Structure elaborated on that and delved deeper into the likelihood for an accelerated breakout to the upside – at a key (future) point within those new uptrends.
It also revisited the topic of this ‘sweet spot’ that was being entered, particularly in Silver…
Gold & Silver have steadily risen since bottoming in late-June – fulfilling a ~17-week high-high-low-low-low-(low; June 26 – 30, ‘23) Cycle Progression…
From a fundamental perspective, 2023/ 2024 has the potential to produce the optimum setup for Silver (and Gold) to experience strong rallies – particularly once interest rates peak.
That is also the time when the US Dollar is most likely to show new signs of weakness. It likely just set a multi-month low and could stretch an ensuing rally into January 2024, so Gold & Silver gains are likely to be limited in 2023.
With late-2022 providing what was/is expected to be a multi-year low, 2023 is when the basing period should unfold and when initial ‘I – II’ and ‘1 – 2’ wave sequences unfold (initial rally followed by pullback to higher low, then second rally followed by similar pullback… ultimately setting the stage for a ‘3 of III’ wave rally in 2024 or possibly later).
Part of that basing period involves two multi-month cycle peaks – one in early-May ‘23 and then a subsequent one in mid-Oct – early-Nov ‘23 as Silver begins to enter its ’sweet spot’.
(Silver is showing it will likely peak in mid-October ‘23 while Gold would likely stretch a corresponding peak into late-Oct/early-Nov ‘23. If fulfilled, those highs would corroborate crucial cycles in 2024.)
All of this potential 2023 action is likely just the ‘opening act’ for what is expected in 2024 & 2025 (and potentially into 2028/2029), when the real ramifications of this new Currency War are scheduled to take hold…
Silver may have just completed a 1 – 2 week correction after initially peaking in mid-July and perpetuating a ~3-month/~90-degree cycle from its mid-April & mid-Jan ’23 highs.
Those highs were preceded by lows in mid-Oct & mid-July 14, ’22… and a high in mid-April ’22… a consistent string of ~3-month turning points.
The mid-July ’23 high fulfilled a ~3-month/~90-degree low-low-high-high-(high) Cycle Progression and projects another high in mid-Oct ’23. Other highs could be seen in the interim…
Multiple weekly cycles focus on mid-Oct through early-Nov ‘23 as the most likely time for the next 1 – 2 month peak in Gold & Silver. Silver is likely to peak first – ideally in mid-October ‘23 when the greatest synergy of weekly cycles appears – and be followed by Gold, which is more likely to peak in late-Oct/early-Nov ‘23 after a sharp, multi-week surge. The strongest advances are still expected to wait until 2024/2025.”
Gold & Silver remain below their May 3 – 5, ’23 cycle highs (likely 3 – 6 month peaks), fulfilling projections for multi-month declines into the second half of Aug ’23 (watch August 17 – 24), when a myriad of weekly & monthly cycle lows converge and usher in a unique period of time – in the markets and geopolitically.
Geopolitical cycles argue for a related trigger event on ~Aug 22 – 24, ’23 (when Vladimir Putin is projected to ‘make a statement’ with some sort of action that alters the landscape moving forward and starts the clock ticking on a more significant event leading into future cycle highs).
All of this action, since late-2022, is powerfully validating the onset of a new 40-Year Cycle of Currency War in which Gold & Silver possess unique potential for the coming months and years! The next confirming action could occur in the weeks leading into late-Oct/early-Nov ’23 – when an accelerated advance is most likely based on the 90/10 Rule of Cycles and diverse indicators… and when another multi-month peak is likely to take hold.
Where are Metals Likely to Bottom on August 17 – 24, ’23?
Will Geopolitical ‘Statement’’ (Aug 22 – 24, ’23) Set Stage for Next Rally!
How Could Impending Future Silver Peak (Mid-Oct ’23??) Corroborate 2024/25 Outlook?
Refer to the April 11, 2023 special issue of The Bridge – Gold, Silver and Elliott Wave Structure – and subsequent reports – for expanded analysis and charts.
Refer to latest Weekly Re-Lay & INSIIDE Track publications for additional details and/or related trading strategies.