Silver overnight is trading up more than 10%, at the time of this writing. This is a big jump, and a breakout after a 5-month long consolidation period. SLV had already gone up 2 consecutive days last week on Thursday and Friday. This breakout looks like it has a lot more room to go. Let's visit the charts:
Daily Chart SLV
In after-hour trading, SLV is already trading above $27, which would be above the recent height set in August. If we look at the monthly chart:
Monthly Chart SLV
SLV's month chart shows a resistance at about $27.5, which is at about what SLV is trading in after-hours. We can see that the last time SLV broke above this resistance level in late 2010, it went all the way to $48. Now it is almost exactly 10 years later. Will the history repeat itself?
In August 2020, we booked solid profits on silver with the help of AGQ and I published an article about Bitcoin breaking out. We cashed out on the silver trade a switched to playing Bitcoin with GBTC. Here are the trades:
As you can see, we started this trade in February 2020 at prices between $11.69 and $12.69. We closed everything on January 6, 2021, as high as $41.68.
Now, I think Bitcoin will go into a consolidation period, and we can go back into the silver trade. We did a one-day, quick trade last week on AGQ:
with a +24% return. Now that silver has broken out (if the after-hours gains hold through Monday's close), I think there's much more room to ride.
We have also recently traded some nice trades on TLRY:
with gains as high as almost +500% in 2 weeks.
On the downside, we had a nice overnight trade on ISRG earnings with a profit of +159%:
I had also recently started a new partnership with Trade Exchange which utilizes revolutionary “Per Idea Plus Pricing.” This means you only pay for the ideas you unveil - pricing begins at $29 per idea. But you know what’s the best part? You only pay for winning ideas! You receive a credit for a free future idea every time an idea does not win.
I started a "stock only" portfolio, called Happy Trades, on Trade Exchange on 11/18/2020. It's only been about 2 months and that portfolio is up almost +35% with 82.35% of the trades being profitable. So far, there have been 36 trade ideas published:
If you'd like to follow my trade ideas on Trade Exchange, CLICK HERE and provide your email address to ensure we will be connected on the Trade Exchange. This week, on Tuesday, February 2, at 7:30pm ET, I will give a "live seminar" (Register to attend HERE) and discuss some trade ideas and to demo the phone app from Trade Exchange.
On Tuesday, after the market, both GOOGL and AMZN will report earnings. If time allows, we can take a look at both stocks during the webinar.
With COVID-19 still out of control in many parts of the world, some biotechs are coming back into focus. The vaccines stocks: MRNA, BNTX, NVAX are all going strong. Small stocks such as INO and VXRT are worth a look after a period of consolidation.
Lastly, the "GME-craze" is just out of control! I wouldn't chase it here. It looks like some consolidation is needed, to say the least. But, the phenomenon of stocks being driven by social platforms is something worth watching.
Happy Monday and HappyTrading! ™