SLW flirting with failure
Silver Wheaton (SLW) had an interesting day today. With silver up 2%, SLW – which typically trades as an amplified reflection of silver – finished down fractionally, weakening steadily throughout the session. Technically, SLW has broken under a rising channel that’s been in place for 3 years. SLW is still struggling to regain that channel, and now it is also testing the falling trendline from its top last month. It’s got dual resistance to punch through, or I will likely vacate my position in SLW.
Silver is rising to test its 50 day MA in short order and a failure of silver at the 50 could coincide with an SLW failure to re-enter its rising channel.