Commodity Trade Mantra

All posts under ‘Silver Trading’

It's Time for Gold and Silver Equities to Rally Again

A move through $1,400 gold will once-and-for-all dispel any belief that 2016’s gold and silver rallies were nothing but “bear market rallies.” A weekly close above that level will not only set up a test of the 2011 peak north of $1,900, it will finally silence the fools calling for $850 gold. Meanwhile, the predictive power of the gold and silver miners has once again prevailed.

Silver Prices to Increase Exponentially in the Long Term

Silver prices, relative to the S&P 500 Index, are currently quite low. Central banks have levitated stock prices and “discouraged” silver prices since 2011. What if the S&P continues its exponential increases and the ratio reverts back toward the high end of its range? The silver to S&P ratio could be around 3.0, and the annual average price for silver could be roughly $100 – $150.

Rate Hike Largely Priced into Gold and Silver - What about Rationality in Sell-off?

Could the FED finally raise rates before 2016 draws to a close? That sounds plausible in theory, but there are a number of factors that do not support a rate hike in the near term. But even if they do hike rates, this move is already largely priced into gold and silver. We should question the rationality of this sell off. After all, the gold price often moves higher along with interest rates.

Gold And Silver Prices Crash Despite Financial Instability & Political Turmoil

Despite the negative bond yield environment, political turmoil in a number of countries, a tumultuous US presidential election campaign & uncertainty in the aftermath of the Brexit vote, gold and silver prices plummeted. Not to mention the current fragility of the global financial system. Now is the time to buy assets physical gold and silver that offer a meaningful hedge against such a scenario.

Gold and Silver Correction Is Painful, But Exactly What Bulls Needed

Despite being off their highs from a couple of months ago, silver is still up almost $4 on the year and gold is up about $200. So it just shows you how fantastic they performed over the first 6 or 7 months of the year. This is just the beginning of the third major secular up-leg in gold and silver that we believe will take them to all-time nominal highs, well above anything that they’ve achieved before.

What Triggered a Meltdown in Gold and Silver Prices Last Week

The markets entered October with lots of traders still willing to hold out for higher prices as long as prices weren’t breaking down. Across the table sat the bullion banks, heavily short & pushing for gold and silver prices to fall. The impasse broke when the stronger dollar & higher rates pushed metals below technical support. Weak-handed speculators ran for the exits.

Gold and Silver Bull Market Correction - The Cause & Eventual Powerful Rallies

With China closed the markets were open for rampant manipulation. The carnage in gold and silver bullion and mining shares represents a great buying opportunity because eventually these paper games will stop working. This is a bull market, and bull markets naturally experience corrections. Don’t let the correction knock you out of your positions, or prevent you from buying the dip.

Gold And Silver Traders Rejoice - Manipulation Lawsuit Against Banks To Proceed

A US Federal Court has found that a lawsuit – the first of its kind – has merit and will now proceed to rule on the following claims versus HSBC and Bank of Nova Scotia. And so the discovery process begins, which will expose just how much market manipulation takes place in the silver (initially as there is a parallel lawsuit taking place with regard to gold) market by major banks.

Global Gold and Silver Produced in 3 Years = Only the Interest on US Debt

The financial disaster taking place at the US costs one heck of a lot of gold and silver. In 2015, the US Federal Government paid $402 billion just to service the interest on its debt. The total value of global gold production in 2015 was $122 billion while that of silver was $14 billion. So the US could purchase 3 times the global gold and silver production in 2015, just by the interest on its debt.

Gold and Silver in the Eye of a Deceptively Manipulated Economic Hurricane

What the governments may do to make the future use of gold and silver in any form of transactions is up for grabs. More than likely, all control will be placed in the hands of those who rule, [they want your gold and silver, as well as your guns, and that message is the strongest reason for your having and holding them]. Those who have no gold and silver will suffer the worst.

Silver Bull Alive & Well Despite Recent Correction-Weakened Sentiment

Silver has spent most of the third quarter drifting sideways to lower. This has naturally weighed on sentiment, with investors & speculators alike growing more bearish during recent months. Yet silver remains way undervalued relative to its primary driver gold, so the young silver bull market is far from over. Silver’s upside from here is still massive as it mean reverts higher with gold.

Ironically, Gold and Silver will find Buyers in Crowds at Higher Prices Than at Lower

Even after you’ve done the research & decided to participate, buying into price weakness against the herd & contrary to your emotions is not an easy thing to do. But time & again, some of the world’s most successful investors have done just that. You might want to consider joining their ranks. As new nominal highs in both gold and silver are printed, several situations begin to develop.

Can the Price of Silver (the Year's Top Performer) Continue to Rally?

With the price of silver up nearly 40% year-to-date, investors are wondering whether it can continue. Experts say it may have more room to run, particularly as global interest rates continue to stay negative. It wouldn’t be inconceivable to see a silver supply shortage if there was heightened demand, & in that case, a silver to gold ratio of 20 to 1 (or lesser) is not an impossibility.

Weekly Outlook for Silver Prices - Volatility in Gold Prices on the Rise

At present, the bias in silver prices is to the upside, as new buying appeared to be behind last week’s advance in prices, as open interest increased nearly 6% through Thursday. In addition, the U.S. economic calendar for the week is full. The possibility of victory for Trump & a second US interest rate hike could cause increased volatility in gold & could rise as high as $1,425.

Silver and Gold Prices Supported by Weak Dollar - Rally Stalls Abruptly

A continuation of the defensive dollar tone over the past 24 hours, coupled with downward pressure on bond yields, has continued to provide underlying support to silver and gold prices. Analysts warn that continued upside for gold futures may be limited now that a Dec rate hike is firmly in play. According to Fed Fund futures, traders are pricing in a nearly 60% chance of liftoff by year-end.

Will The Price of Silver Take a Breather Before Another Rally Kicks Off?

The price of silver has emerged as the perfect compensation for those whom the market inflicted losses last year. The price of silver appears set for a correction, which suggests the overbuying activity that took place in June could witness several cash outs in the coming weeks. But the overall direction of commodity prices suggests that this could just be a breather before another rally kicks off.

Surging Silver Demand Ensures Higher Prices for Bullion & Mining Shares

In 2015, the global silver deficit — more silver demand than mine supply — was about 130 million ounces, made up by selling stockpiles & inventory. According to Société Générale, silver supply in 2016 is likely to decrease another 9%. As the magnitude of the problem sinks in, I expect that more of the big-money players will rush into silver. And it’ll make for a pricing tsunami.

Price of Silver Set to Skyrocket as it Returns to its Historic Role

In addition to holding up well in the face of bearish factors, the price of silver is set to get a boost from several bullish factors that have not yet been fully priced in by the markets. Despite the recent strong dollar and tough talk from the Fed, the U.S. economy cannot afford a strong dollar. The dollar will again naturally weaken and the dollar price of silver will get a boost.

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