x
Breaking News
0

Silver Direction And EUR/USD Correlations

By Brian TwomeyCommoditiesOct 24, 2015 06:40PM ET
www.investing.com/analysis/silver-direction-and-eur-usd-correlations-269087
Silver Direction And EUR/USD Correlations
By Brian Twomey   |  Oct 24, 2015 06:40PM ET
Saved. See Saved Items.
This article has already been saved in your Saved Items
 


From 15.84 current price, silver's historic 25 year average, 150 month or 12.5 year mid point is located at 17.18. The point at 17.18 also corresponds to the 2 year average median line. Current price trades between the 1 and 15 year average from 16.02 and 15.06. The 15 year average at 15.06 is the result from silver's historic May 2001 bottom at 5.95 as price then peaked at 51.67 in April 2011. As silver dropped from 51.67, the 15 year average crossed below every average from the 25 to 1 year. Last time silver saw 5.95 was September 1942 so current price is less than 10 points from historic bottoms.

A break of 15.06, targets next averages at 14.83, 13.58, 12.59, 10.97, 7.76 and 5.57. Above 16.02, targets averages at 16.17, 17.18, 17.55, 17.86, 19.77, 19.88, 20.56, 22.74 and 25.47. What drives current price is the 5 year average at 25.47. Price drops become oversold yet the average is not oversold. Current price is above the 15, 20 and 25 year averages at 15.06, 12.59 and 10.97. Significant peaks are seen in averages 3, 7, 10, 15, 20, 25 and is derived from serious misalignments. The 10 year for example is to low and should be positioned at the 3 year. The 20 year crossed the 25, the 15 year crossed the 1 year.

Targets to align averages from 1 - 25 begin at 11.82, 14.83, 15.27, 15.79, 15.66, 17.89, 16.82, 16.96,21.86 and 33.89. Despite 5.95 historic lows, the best target is 33.89. Current price is 9.89 points from bottoms and 18.05 points from best target above.

The best correlation silver maintains v EUR/USD is found at the 2, 5 and 20 year averages as the 2 year correlates 90%, 5 year at 64% and 20 year at 60%. Remainder averages are all below 50%. The 1 year for example correlates 18%, 7 at 30%, 15 year just crossed at 58%.

The best view long term in silver is historic oversold and way oversold vs EUR/USD. Silver's range from 1915 - 1968 saw 5.63 lows September 1939 and highs at 14.51 in 1968. Since 1968, silver saw first ever highs at 110 in 1979. Short term resolution decides Silver's fate as breaks must be seen at 15.06 and 16.02.

Silver Direction And EUR/USD Correlations
 
Silver Direction And EUR/USD Correlations

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind: 

  • Enrich the conversation
  • Stay focused and on track. Only post material that’s relevant to the topic being discussed.
  • Be respectful. Even negative opinions can be framed positively and diplomatically.
  •  Use standard writing style. Include punctuation and upper and lower cases.
  • NOTE: Spam and/or promotional messages and links within a comment will be removed
  • Avoid profanity, slander or personal attacks directed at an author or another user.
  • Don’t Monopolize the Conversation. We appreciate passion and conviction, but we also believe strongly in giving everyone a chance to air their thoughts. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

 
Are you sure you want to delete this chart?
 
 
Replace the attached chart with a new chart ?
Post
Post also to:
1000
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
 
Are you sure you want to delete this chart?
 
 
Replace the attached chart with a new chart ?
Post 1000
Please wait a minute before you try to comment again.
 
 
 
Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Add Chart to Comment
Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.
Continue with Google+
or
Sign up with Email