Those that view the message of the market on daily basis are likely confused by trading noise. While trading noise contributes to the long-term trends, it does not define them. Human behavior tries to explain trading noise as a meaningful trend. This confuses the majority which, in turn, contributes to their role as bagholders of trend transitions.
iShares Silver (NYSE:SLV) Daily Trend
Consolidation
Weekly Trend (chart 2)
Downside Alignment
Monthly Trend (chart 3)
Downside Alignemnt
Conclusion
Silver's trend, a step of bearish consolidation, is far less bullish than gold. This divergence is troublesome since silver generally leads the precious metals sector higher. A close below key reversals with force – swing, weekly, or monthly gap reversals would be extremely bearish (see Matrix).