The metals saw heavy liquidation on Tuesday.
Front month Gold futures traded lower by over 5 percent, Silver futures by over 13 percent and Platinum over 4%.
In this post, we will review our analysis on Pan American Silver (PAAS).
Deutsche Bank downgraded PAAS from Buy to Hold and raised their price target from $28 to $34.
At 2:00 PM ET, PAAS is trading at $32.03, down 11.6% on the day.
The stock is still up more than 201% from the lows made on March 16th.
Let’s review our weekly cycle analysis.
Pan American Silver (PAAS) Weekly Chart
![pan american silver peas stock analysis outlook bullish higher chart image august 12](https://www.seeitmarket.com/wp-content/uploads/2020/08/pan-american-silver-paas-stock-analysis-outlook-bullish-higher-chart-image-august-12-1024x581.jpg)
At askSlim we use technical analysis to evaluate price charts of stocks, futures, and ETF’s. We use a combination of cycle, trend and momentum chart studies, on multiple timeframes, to present a “sum of the evidence” directional outlook in time and price.
askSlim Technical Briefing:
The weekly cycle analysis suggests that PAAS has formed an intermediate-term high and is in a declining phase. The next projected intermediate-term low is due 8/10 – 9/21. Weekly momentum remains positive.
![pan american silver paas stock price indicators bullish august 12](https://www.seeitmarket.com/wp-content/uploads/2020/08/pan-american-silver-paas-stock-price-indicators-bullish-august-12.jpg)
On the upside, there is an intermediate-term resistance zone from 38.43 – 40.11.
On the downside, there is an intermediate-term support from 28.84 – 25.36.
For the bears to regain control of the longer-term, we would need to see a close below 25.36.
askSlim Sum of the Evidence:
PAAS is in a corrective phase in a longer-term positive cycle pattern. Given these conditions, we see a likelihood that the stock tests the intermediate-term support at 29 by late August.
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