Chart of the Day – Monday, July 8, 2024

i have to say, not only is silver stronger in ’24 than the Nasdaq 100 $QQQ, but this multi-year breakout looks constructive as we sit… pic.twitter.com/AyWka3RHpk

— David Cox, CMT, CFA (@DavidCoxRJ) July 8, 2024

Today’s Chart of the Day was shared by David Cox (@DavidCoxRJ).

• Silver futures rose +7.20% last week, closing at an 11-year high of $31.70 per ounce.

• Gold fever has died down over the past two months as Gold and Silver have been correcting. Both metals peaked on May 20th before pulling back -5.1% and -11%, respectively.

• While the crowd has moved on to the newest shiny object (Mega-Cap Tech), David reminds us that Silver has outperformed the red-hot Nasdaq year-to-date (+30% vs. +21.5%). After an -11% correction, Silver looks ready to resume its multi-year breakout.

The takeaway: Silver is recovering from a healthy correction within a multi-year breakout. All-time highs are within reach over the next year, implying over +50% potential upside.