Every cloud has it's silver lining, via Bloomberg.

XAG/USD, 50bps cut

Silver has been on a solid run this month and the present environment is making that more attractive. The prospect of a US-China trade war that can flare up on a single tweet, the rise of negative yielding bonds as central banks cut interest rates around the world and a weakening dollar on a dovish fed all make silver attractive. If the Fed do go and cut interest rates by 50bps then silver will shine even brighter. One of the interesting points I read on this Bloomberg post was that Silver was more reliant on industrial activity than Gold , so that means a pick up in global economy will help silver's rally further. Interesting point, but I would have thought the dollar strength on a return to Fed normalisation would outweigh that benefit. Interesting, nonetheless.

Silver set to shine

The ETF holdings backed by silver are increasing at a faster rate than gold. Look at the chart below and you can see the blue line on the top chart making quick progress up to Gold's levels. The gold-to-silver ratio is now at 88 (bottom chart) reflecting this shift in sentiment.

Silver

On the Daily silver chart price is near a key weekly resistance level at $16, so we can expect some resistance at this level during the Fed's blackout period, subject to US-China trade war shenanigans. Watch price around this level for clues on it's next direction as this area provides a decent crossroads for silver's next potential leg.

ETF's backed by Silver