As the probable ending point of a three-wave “a-b-c” upward correction, July mini-Silver closed today at 1394.6, down 4.8. Since the price action over the past 16 days has clearly been a three-wave move rather than five, the conclusion necessarily follows that the major underlying trend is still Down.
Now we need to keep an eye on price action over the next several days. Two days ago, the Candlestick price bar was a Shooting Star, a classically bearish pattern; and the formation today was a Hanging Man, which is also bearish but which requires confirmation tomorrow.
If prices close lower tomorrow, the odds are that prices will now, or very soon, resume their decline to lows far below 1180.
William Kurtz May 11, 2009 http://www.candelaabra.com
