Chart of the Day – Friday, May 17, 2024

Does an 11-yr high count as a breakout? Hi-Ho #silver pic.twitter.com/L2QcjDYNN3

— RenMac: Renaissance Macro Research (@RenMacLLC) May 17, 2024

Today’s Chart of the Day was shared by Renaissance Macro Research (@RenMacLLC).

• Silver broke out to its highest level in over a decade today, surging +6%. This was its best week in over three years, gaining +11%.

• It blasted through resistance around $30/oz., opening the door to significant potential upside. This is rare air for Silver.

• It has built a three-year base from which to launch higher. This pattern also resembles a Head & Shoulders Bottom. A measured move suggests a price target of around $35.

The takeaway: Silver broke out to an 11-year high today after shattering resistance at $30. It’s resolving higher from a three-year accumulation pattern, and the next upside objective is $35. This also validates the bull market for precious metals.