VelocityShares 3x Long Silver ETN
In this part of the series, we’ll look at miners’ RSI (relative strength index) scores and implied volatilities.
Goldcorp (GG) and Newmont Mining (NEM) have dropped 4.2% and 6.2%, respectively, over the last month.
Silver futures for December expiration closed at $17.8 an ounce on October 25, only a little lower than their day high.
The RSI (relative strength index) levels of mining shares have been falling considerably, and prices have slowly been retreating.
Undoubtedly, silver has outperformed gold this year. While gold has seen a year-to-date rise of 24%, silver has seen a rise of 33.3%.
Further to Bank of America Merrill Lynch’s take on gold, it’s crucial to consider the bank’s take on silver.
Hedge funds increased their bets on gold as prices fell after gold’s gains in 1Q16. However, hedge funds and money managers curbed their bets on gold as it fell steadily in May.
In 2016, silver has outperformed its precious metal peers. Silver has risen about 19.6% on a year-to-date basis while gold has risen 18%.