Following is a Weekly or intermediate term chart of silver along with a few brief comments developed around its most recent Commitments of Traders report from this past Friday.
Not long ago I did a more detailed analysis of silver which can be found here at the site noting how the Swap Dealers are the one group of traders to keep a close eye upon when it comes to this particular commodity futures market. They have an uncanny knack for being on the right side of this market when it makes its move.
I normally lay great emphasis on the activity of the speculators, particularly the large hedge funds, since they are the drivers of our modern markets, but when it come to silver, once the net positioning reaches extreme levels, more often than not, the Swap Dealers are the ones positioned correctly.
With that in mind, I am closely observing what is transpiring in the silver market based on the COT positioning and the price chart.
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