Go Long on Silver

In recent years, silver has been overshadowed by gold as the precious metal to own. But the iShares Silver Trust (SLV) started to attract more attention with breakouts to the upside over the past two years. It may be a good idea for investors to get into the metal on a bottom via the exchange-traded fund, based on both a technical and quantitative perspective looking inside the silver market, and within its flows and volume as indicated by option traders.

First, observe the market psychology of SLV indicating how traders and investors have perceived the silver ETF. It can be seen in the Elliot Wave structure entered into wave 5 from a normal market cycle viewpoint. Within the normal cycle, a smaller cycle also confirms a wave 5. The Relative Strength Index (RSI), which bottomed out at around 25, is now heading higher (more below on volume indicators and open interest indicators tending to lead price higher)....235 more words left in this article. To read them, just click below and try Real Money FREE for 14 days.

Read the full story and get access to the Real Money Pro trading floor.

There’s no substitute for a trading floor to get great ideas, so Jim Cramer created a better one at Real Money and blogs there exclusively. We then added legendary hedge fund manager, Doug Kass, with his exclusive Daily Diary and best investing ideas. Staffed with more than 4 dozen investing pros, money managers, journalists and analysts, Real Money Pro gives you a flood of opinions, analysis and actionable trading advice found nowhere else, and allows you to interact directly with each expert.

Already a Subscriber? Please login.

Except as otherwise indicated, quotes are delayed. Quotes delayed at least 20 minutes for all exchanges. Market Data provided by Interactive Data. Company fundamental data provided by Morningstar. Earnings and ratings provided by Zacks. Mutual fund data provided by Valueline. ETF data provided by Lipper. Powered and implemented by Interactive Data Managed Solutions.

TheStreet Ratings updates stock ratings daily. However, if no rating change occurs, the data on this page does not update. The data does update after 90 days if no rating change occurs within that time period.

IDC calculates the Market Cap for the basic symbol to include common shares only. Year-to-date mutual fund returns are calculated on a monthly basis by Value Line and posted mid-month.