Both silver and gold continue to blast higher. I think it is an important point to observe that gold and silver are pushing major new highs while the stock market seems to be drifting a bit. For the first time in a long time I am maybe starting to wonder if we will see them decouple here. In other words, see gold and silver start to feed off of paper equity market weakness.
I wrote about the SLV trading in an expanding wedge formation and a low volume retest situation near the 36 range. This has since led to a huge upside move. Initially I talked about how SLV could hit the 40 to 42 range. It could be that there is room up to the 45 range now. The SLV is currently trading very strong in the RSI power zone and I suspect will continue to do so for a bit longer.
The metals really are the real bull market and this fact is likely to remain true for many years.
The 45 to 46 range would make the current run in the SLV somewhat equal to the run that began in early February 2011. There always exists the possibility that the SLV can bust north out of all the top channel lines shown in the chart above which would put it into extreme breakout mode.