Commodity Trade Mantra

Posts Tagged ‘Silver Price’

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.

Will Silver Prices take off like a Rocket while Gold Prices Languish?

Why are junk bonds and equities not dropping commensurately? It’s crystal clear that if rates are truly moving up, then all assets will be repriced lower. So for the moment, the prices of the metals— silver more than gold—are driven by this Narrative.It would be strange to see the price of silver take off like a rocket while the price of gold languishes, moribund.

If You Understand the Negative Consequences of this, You will Buy Gold and Silver

Investors need to own a good percentage of their wealth in physical gold and silver to protect themselves when the market finally crashes. When the market finally craters, it will take down the value of most paper assets and real estate with it. Because there is very little in the way of physical gold and silver to go around, their values will skyrocket as investors seek to PROTECT WEALTH.

Are Silver Price Movements Indicating the Beginning of the Next Upleg?

Silver had a good rally last Friday & this turnaround could mark the beginning of the next upleg. Even if it should head lower again soon, it is thought unlikely that it will drop below the support at and below $18.00, especially as it is underpinned by an important channel support line. Should it drop that low silver would look most attractive.

Silver Price Dives while Gold Price is Motionless - What Gives?

Silver is in a different world. It has a long way farther to fall, before it catches down to the fundamentals. As speculators reduce their positions, the silver price falls a bit. The gold to silver ratio rose significantly this week. The gold market may not be screaming “buy” yet—today is not that day—but it’s no longer screaming “danger”.

Buy Physical on Silver Price Dip, Futures Traders Need Some Patience

Seasonality plays a key role at this time of year, which has historically been the best time to buy gold and silver. Now could be a good time to look for buying opportunities on dips. Normally, I would also short silver for technical reasons, but because we are at a very strong time of year for the silver price, my stance is to be on sidelines for traders but buyers of physical silver to keep accumulating.

A Very Long Term View on the Price of Silver & Inflation

When silver was money and held at a ratio of about 16 to 1 with gold, the inflation adjusted price of silver was about $30 an ounce. The mother of all silver bulls continues to be 1980 as the price of silver spiked to about $118 on a closing basis on our inflation adjusted chart. That continues to be the benchmark for silver as we head into the new bull market in silver.

What Experts Predict for the New Silver Bull Market

The silver price has gone up more than 43% year-to-date, “leap-frogging ahead of gold post-Brexit.” Experts believe the silver price will reach between $25 & $32 by year-end. Though optimism is prevalent, investors can expect some volatility. As silver is both “currency & commodity,” used in a variety of industrial & other uses, its value is “more highly correlated with stocks” than that of gold.

Gold and Silver will Never Decline Enough to Your Buy Levels - Buy Them Now

So far, waiting to buy gold or silver hasn’t been a good strategy. Yes, there were a couple of times where you might have been able to buy and save some money. But things can get in the way of that plan. And for a number of people I’ve talked to, things apparently did. The first obstacle is Timing: Away from your computer, on a trip, sick, or depressed? Whoops, you missed the “correction.”

The Silver Futures Market War Continues Unabated - Be Cautious

The hedge fund net long is at a new all time high. The Swap Dealer net short is also at a new all time high. Commercial net shorts in silver are fast approaching the all time high set back in October 2009. All of this being said, the composition of this silver market internally is becoming extremely unnerving. If you are long in silver – be cautious and whatever you do, do not grow careless.

The Worst Gold Bear is now the Most Convinced Bull

Less than one year ago, Dutch bank ABN AMRO has put itself on the map by being more bearish on gold than Goldman Sachs. ABN Amro has now released an update report & is now expecting the gold price to end 2017 at $1450/oz. That’s a 75% increase in target price. The downward spiral of the gold price has been broken, and the only way seems to be up.

Silver at Crucial Level, Commercials Underwater for Almost a $1 Billion - NOW?

As we have now punctured an important silver trend line, what happens next could be very interesting. If silver closes above $20.35, the 50 (MA) trend line at a significant margin, we could see a lot more hedge funds and large traders jump into the silver market bandwagon. Bullion banks who hold record commercial silver short contracts, will likely defend the $20.35 price at all costs.

A Record Silver Price Rise is Imminent - Can You Guess the High?

At the apex of its last secular bull market in 1980, the silver-gold ratio weighed in at a hefty 14:1. If silver only got down to a 30:1 ratio, this would price our model at over $300/troy ounce. Leaving the ratio aside altogether and simply considering the 1980 inflation-adjusted price by itself would project a silver price today of more than $150 an ounce.

Get Gold At $356 Per Oz - How? Just By Buying Silver Today

If I buy $345 worth of silver [17 ounces (345/20.31)], and hold it until the Gold to Silver ratio reaches the 17-level again; I can exchange it for 1 ounce of gold. I would effectively have paid only $345 for 1 ounce of gold, which today cost $1370. Based on the historical relationship between gold and silver, it is almost guaranteed that the Gold/Silver ratio will again reach the 17- level.

Watch Out If Silver Price Breaks Through This Technical Level

The huge Silver Rally last week took a lot of precious metals investors by surprise. We may see the banks try and hold silver from crossing this trend-line, but if silver does close above $20.50 this week and continue higher… it could spell real trouble for the bullion banks who hold a great deal of silver short contracts. Silver needs to close above 50 MA Threshold of $20.50, to soar further.

When There is Fear Everywhere, That’s When Gold and Silver Perform Best

Right now, this is a very scary time… People want to hop out of traditional assets and find safety in the oldest currency in the world – Gold and Silver. If and when things get worse, panicked and concerned citizens the world over will continue to shift capital into safe haven assets like gold and silver, which will be the only currencies left standing when it really hits the fan.

Is Paper Gold and Silver Pushing Up The Prices For The Physical Metals?

Gold and silver prices are rising. Gold prices shot up over $60 this week while silver moved up over $0.85. The feeling in the air is that of long suffering suddenly turned to optimism. Big gains, if not the collapse of the price-suppression cartel, are inevitable. Let’s look at the only true picture of supply – demand fundamentals & what it tells us about the state of the market.

How China will Continue to Gain Influence in the World Gold Market

The gold market will soon be very different than from what we see today, largely due to the current developments in China. China’s influence will impact not just gold investors but everyone who has a vested interest in the global economy, stock markets, & US dollar. The Chinese understand that owning gold means economic power, & are accumulating both at a rapid rate.

Is Silver Showing A Short-Term Bounce Or Getting Ready To Rip Higher?

Since mid-January the price of silver has been uncharacteristically “buoyant,” especially in relation to the price-action in gold. In general, silver outperforms gold on days when gold is being successfully manipulated lower and, in general, it outperforms gold on rally days. Whether or not this is nothing more than a short-term bounce or the start of the next big move higher remains to be seen.

The Gold Silver Ratio at 80 - Higher than it has been since 2008

Silver just got cheaper when measured in gold terms. The dollar and silver are both going down now—in gold terms. We think that what’s happening is that the price of silver metal is selling down, and every time the carry rises to a threshold, arbitrageurs are buying spot to sell futures and pocket that spread.

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