The silver stocks are catching up to the gold stocks that took off and rallied earlier this year. The precious metals group tends to trade together, eventually. This is true for metals stocks in general as this week’s rally in copper stock Freeport McMoRan demonstrates.
Silver has different kinds of industrial use than the other metals so, although the sector can move as one, it often takes its own time. Now that it’s on the move, investors may want to research the key equities. With that in mind, here are the price charts that show recent action.
Global X Silver Miners ETF (NYSE: SIL):
The fund this week moved above the July and May resistance levels and established a new 52-week high. With 52 different holdings of silver stocks, the price represents a diversified group. Some of the companies produce a mix of precious metals which includes silver. Note that the price is now above up trending 50-day and 200-day moving averages.
Wheaton Precious Metals (NYSE: WPM):
The Canadian-based company operates 18 mines and produces silver as well as gold, palladium and platinum. This month, the price took out the previous highs of August and July. Both the 50-day and the 200-day moving averages have been trending upward since late February.
Pan American Silver (NYSE: PAAS):
From headquarters in Vancouver, British Columbia, Canada, the company operates silver and gold mines in North and South America. The stock hit a high in mid-July, sold off in August and now it appears as if the buyers are returning. It just took out the mid-August high and may be on track to re-test that $24 level. Pan American now trades back above the 50-day moving average the 200-day is up trending.
Couer Mining (NYSE: CDE):
From corporate headquarters in Chicago, the company runs silver and gold mining operations in the United States, Canada and Mexico. The stock this month broke above the July high (previous selling at resistance) and just made another new high. Now trading above both an up trending 50-day moving average and an up trending 200- moving average, Couer’s price chart is compelling.
Hecla Mining (NYSE: HL):
The company is “the oldest silver company on the NYSE and largest U. S. silver producer,” according to the Hecla Mining website. Headquarters are in Couer d’Alene, Idaho with a sister office in Vancouver, British Columbia. The stock this month broke out above the May/July/August highs and has continued higher, now well above both up trending 50-day and 200-day moving averages.
There are no guarantees, of course, that trends will continue upward but it’s good to be with the trend, generally, than against it.
More analysis and commentary at johnnavin.substack.com.