The Silver Thread

ANOTHER CUP- this time silver (thanks, McB)


Excerpt:
Take a good look at the chart ... of daily silver future prices. This is the famous parabolic bowl pattern we've seen so much of in recent weeks, a pattern that has been very profitable and rewarding to those who acted on its message. Bowl-shaped patterns, especially at bottoms, indicate accumulation or the absorption of supply in the market.

When prices pass across the mid-point (or "vertex") of the bowl and then move closer to the right side of the bowl near where it begins to curve up, a substantial rally usually follows. This is especially true if the price low for the cycle in which the parabola is made is at the center of the bowl or slightly to the left. As long as the price bottom isn't made after the vertex of the parabola is reached, it is a sign that the market is on an even keel and that a rally is due to occur once prices come into contact with the upward curving rim of the bowl.

This is "Parabolic Analysis" in a nutshell.