Silver Editorials & Commentary

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.

The chart below is a picture of the silver market........ now read it's story.

Back on March 31st I wrote an editorial showing that Silver could rocket up to $52 to $56 by mid-year. At the time of the writing Silver was sitting a little above $32 on the price chart.

Q: What do CNBC, George Soros, Warren Buffet and every other mainstream investment commentator on the price of gold have in common for the last ten years?

A: They are all wrong.

Unfortunately my writing and reading computer has broken and has been in the shop for over a week now.

The story of gold is as rich, lustrous and complex as the metal itself. It is as ancient as the Egyptian Pharos and modern as the mirrors coated with gold which astronomers use to capture images of the universe.

Charts presented in this report are courtesy Stockcharts.com unless indicated.

Trading with multiple time frames - Every now and then it's always a good idea to look at some different time frames to be sure you have a solid understanding for the longer term trends in play.

Everybody loves the Beatles, whose strange songs are stuck in the memory of millions of people. "Bang, bang, Maxwell's silver hammer, came down upon her head.

High volatility seen in commodities market in the past week attributes toward ongoing social and economical developments in the Middle East.

Most experts agreed on a price target around $1,800 gold and $50 silver by the end of 2011.

In its latest Gold Demand Trends 2010 report, the World Gold Council said gold demand hit a decade high as jewelry buyers returned to the market after the previous year's near-absence and central banks became net buyers.

In its latest Gold Demand Trends 2010 report, the World Gold Council said gold demand hit a decade high as jewelry buyers returned to the market after the previous year's near-absence and central banks became net buyers.

Let's take a look at gold, silver and the Dow Jones from their lows of the Credit Crisis, starting with the Bear's Eye View and price charts for silver.

Political as well as economical developments around the globe, especially in the Middle East, have affected the commodity markets during the previous week.

Today the stock market bled out with a river of red candles. All of the recent gains vanished in one session. Strong selling volume sessions like this are typically a warning sign that distribution selling is starting to enter the market.

Silver's massive autumn rally has utterly captivated speculators and investors, their appetite for all things silver is insatiable. Interestingly a major driver of this metal's recent surge was stock-market buying of the flagship silver ETF, SLV.

It's great to be back after the holiday season. Things are as exciting as ever in the markets and around the world politically.

Thanks to its awesome autumn rally, silver has become something of a rock star in the commodities world. Investors and speculators alike are enthralled with this white metal.

Last week we had typical pre-holiday light volume trading going into US Thanksgiving.