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October 25, 2006
Follow-up of silver miners, Wed., Oct. 25, 2006, 1:40 PM
Four full trading sessions ago, I reviewed five silver miners, and recommended their stocks. For the record, these stocks are up on average +4.50 pct in those four days.
Pan American +5.453 pctHecla Mining +5.333 pct
Coeur d'Alene +1.667 pct
Silver Wheaton +5.685 pct
Silver Standard +4.355 pct
That happens to be about +470 equivalent Dow points, which didn't happen.
I recommend that on every pull-back, traders keep their pedal to the metal. These silver stocks have a long way to go before they reach their peak.
As we wait for the FOMC to report, Bloomberg announced that 108 out of 108 economists they checked believe that the Fed Rate will stay unchanged. That means more hawkish tones, which are simply not believable when you see the +10-pct M3 annual growth rate.
But hawkishness always seems to depress the precious metal miners for a bit. That's the time to buy.
Posted by Posted by Bill Cara on October 25, 2006 01:40:13 PM | Category: Silver
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FWIW, Short term outlook for Elliott Wave theory predicts minor downside for Silver before a reversal and subsequent breakout to the upside.
http://www.safehaven.com/article-6159.htm
Nice chart with breakout and confirmation levels accompanying article.
Posted by: Seamus![[TypeKey Profile Page]](http://www.billcara.com/nav-commenters.gif)
at
October 25, 2006 4:24 PM [link]