Silver takes another step closer to $50

Yesterday Silver (XAG/USD) did briefly dip below $52 per ounce ahead of a US close, at $52.15. Earlier today the metal fell back further and dropped as low as $51.10, ahead of a rebound back towards $52 again. 

Well since then it has taken another hit as we write and that has seen it trade below $51 per ounce. Loo, for days now we have been warning about a potential break below $54.77 possibly threatening the $50 handle and as you can see, that is exactly how it is playing out right now. We are concerned about the prospect of that $50 handle being taken out, as indeed we have been mentioning, because it could put in jeopardy the whole multi-decade break out, which led it to $121.65 back at the end of January. 

So, as you can see that move has already unravelled a huge amount more than many ever expected. Granted, it has not fallen below $50 yet, but of course this level is massively on the radar from here on today. The low seen a short while ago was set at $50.88. Silver is right now at $50.95