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A lot of people are wondering just how much Silver can go down or for how long, before we return to new highs. It would be fair to look at what we do best, and that is looking in the past, the previous performance when the metal is under selling pressure. One could argue that the conditions and reasons for the last major decline at the beginning of 2011 are not the same as the ones in todays market, true. But keeping in mind that corrections are what they are, let's take a look at what happened back then.
Silver reaches a new 31-yr high of $31.29 on January 3rd 2011, and over a period of 24 days it declines all the way down to $26.315 on January 27th 2011, a drop of about $4.975/oz or 16%. It took 45 days from January 3rd to February 17th for Silver to retake the previous high and to never look back.
The higher volatility in today's market that can make silver drop 10% in minutes or hours, can also make it recover at the same pace, only when the candles are being printed on the charts then we will know how history will repeat itself this time around.
Silver reaches a new 31-yr high of $31.29 on January 3rd 2011, and over a period of 24 days it declines all the way down to $26.315 on January 27th 2011, a drop of about $4.975/oz or 16%. It took 45 days from January 3rd to February 17th for Silver to retake the previous high and to never look back.
The higher volatility in today's market that can make silver drop 10% in minutes or hours, can also make it recover at the same pace, only when the candles are being printed on the charts then we will know how history will repeat itself this time around.
