Silver Editorials & Commentary

The price of silver reached a 5-month high this past week as investor interest seems to have been rekindled in both gold and silver as belief in financial markets increases that the latest round of monetary easing from the Federal Reserve - QE3 - will soon be o

[Before reading this update on Fractal Silver, you might wish to skim through my recent public article, "Fractal Gold Review and Update" since it discusses key timing issues that this article is based upon.]

After being sucked into the general commodities correction, silver has been relentlessly drifting lower since late February. But this weakness has forced the white metal down to a very bullish place technically.

In the Wednesday stock report we took an indepth look at gold to see what the chart patterns were telling us. Tonight I want to look at silver as there is a chart pattern similar to the gold rectangle that no one is seeing at the moment.

On Friday the price action in gold caught the attention of most market participants as gold put in a monster move to the upside in light of risk assets such as the S&P500 selling off sharply.

We now have a Bullish Extreme in the USD. Over the last 5 years, Bullish extremes have been very good indicators that a top was within a hand's reach.

In early May of 2012, the Silver to Gold Ratio (SGR), or the number of ounces of silver that one ounce of gold will buy is looking really good. How is that?

The past couple months investors have been focusing on the equities market. And rightly so with stocks running higher and higher.

Do you think that depositors in Cyprus are being taxed? That their money is being taken from them to go to the government in Cyprus or to Europe? Most analysis of the Cyprus bailout is wrong on this point.

Gold and silver are very close to entering the mania phase of this bull market. In order for gold and silver to go into the mania phase, value has to be diverted from somewhere, and that "somewhere" is most likely stocks.

This week may provide some trading opportunities for us if all goes well now that most traders are investors are all giddy about stocks again.

The week was interesting as we basically stalled out for the most part with many US indexes and stocks, especially coming onto the end of the week.

Analysis Of The Long-Term Silver Chart Suggests Significantly Higher Prices

Below, is an extract of my Silver Premium Update for 25 January 2012:

I have received numerous emails asking about silver. This article was prompted by a question enquiring what the silver price might be if my gold forecast of $4,500 proved to be correct.

The new year started off with a bang with precious metals out-shining the competition. Is this a harbinger of things to come? We think so and we are not alone.

I think you will admit that we are in the middle of one major crazy financial mess.

Let's be frank here. I spend between 12 and 15 hours a day working in front of my computer screens watching markets and charts and reading news and reports from all over the world.

You'd think I'd have a clue. I don't.

We are at the edge of a major economic crisis. Our monetary system is the underlying cause of this major crisis. The massive debt bubble created by our monetary system is about to burst.

Once upon a time, the Chinese government forbade ownership of all precious metals.

Many investors pigeon-hole themselves as "inflationists" or "deflationists", where an inflationist is someone who expects more inflation over the years immediately ahead and a deflationist is someone who expects deflation.

A few weeks ago I wrote about how gold was starting to top and that everyone should expect a very sharp drop to the low $1600 area.

When examining the present situation in silver, what everyone needs to know, first and foremost, is that technical analysis is an exercise in futility in a manipulated market.

A Cup and Handle pattern is a bullish continuation pattern that represents a period of consolidation followed by an eventual breakout, which is the continuation of the previous trend. Typically these patterns last months and not weeks or days.

I had two purposes in writing today's commentary. The most obvious intent is to help people avoid committing financial suicide in our real estate markets.

It's the thick of summer now and I'm trying to take it pretty easy this weekend and perhaps another weekend or two while the warm weather is here.

When I first began examining supply/demand data on the silver market several years ago, I was somewhat hesitant to form conclusions, as silver (and gold) have traits which are very different than ordinary commodities - which affects supply/demand analysis.

I welcome the Internet debate on the question whether the Mint should be opened to gold and silver.

During the past 4 months we have seen the financial sector (banks) under selling pressure. With real estate prices continuing to fall and foreclosures picking up speed again investors have not been that interested in holding bank stocks.

Some people think that one of the fundamental institutions of the 19th century should be restored; we single out Great Britain as the great leader embracing this institution.

The great Khan (Chinese ruler), causes the bark of trees, made into something like paper, to pass for money all over his country." …Marco POLO, (1254 - 1324 Traveling explorer from Venice).

In my recent review of the bankster assault on the silver market, I alluded to the fact that we knew there was no "bubble" in the silver market, since there had not been the build-up of inventories which must take place before any commodity cou

In a single week, the manic euphoria gripping silver recently was utterly obliterated. After promising such rapid wealth creation, this metal collapsed in what can only be described as a near-crash.

Wow! What a week!! This week's decline in silver was on a scale not seen since the Hunt Brothers' silver liquidation of 1980. Silver was down 25.43% in only four days! How often does this happen?

Silver was one of the top priorities for many of precious metal traders until last week. However, silver market witnessed a dramatic turbulence in recent days. Let's examine what has happened in silver market, in detail.

The past few weeks we have been seeing the US Dollar slide to new lows at an increasing rate. The strong devaluation of the dollar has sent precious metals like silver and gold rocketing higher out of control sending them parabolic!

When gold hit the psychologically important $1,500 level it didn't surprise us, but we admit that silver's recent performance gave us a small thrill.

Having just written a commentary explaining why gold and/or silver "mania" is much more of an imminent event in Asia than in the West, when I saw silver leap more than $2/oz in early, Asian trading on Monday that definitely got my attention.