Silver Price Update – Silver Prices Collapsing Below Support as Economy Weakens

SILVER PRICES 4-HOUR CHART

Spot silver (currently $21.78) is below $22.00 and a breakdown towards $19.00 is becoming likely. Prices would have to reverse soon and finish the week above $22.00 to prevent a deeper pullback.

Today’s weakens is attributed to trouble with China, a slowing economy, and a stalemate in Congress. Most of these factors should prove bullish for gold, and eventually silver, as they develop.

Note- A collapse in the “paper-price” of silver would increase demand and support a bottom straightaway. So, if prices do break below $20.00, I don’t see it lasting long, but rather view it as an opportunity to buy physical metals. At today’s prices, I prefer platinum and silver coins over gold.

AG Thorson is a registered CMT and expert in technical analysis. He believes we are in the final stages of a global debt super-cycle. For regular updates, please visit here.