Silver Editorials & Commentary

Our reasons for focussing so closely on Silver at the current time are threefold:

Some outstanding points are made in the Puplava article.

Just want to mention a few before my brief thoughts on contrarian investing:

There have been two very interesting developments in the past week:

1. Silver’s Daily Open Interest on Comex dropped to almost zero (See red line at bottom of chart)

Nearly three years ago, I wrote an article for the public called "Silver to Zero." The basic premise of that piece, published on October 20, 2000, was that silver is being depl

Let's talk silver, shall we? Over the past few weeks there has been increasing interest in the white metal sector after the vigorous rally in silver earlier this spring.

A comparison of the Long Term Silver and Gold markets yields some interesting observations. Both charts are up to date to end April 2003.

I asked the question in my last silver futures report back in March, "When will this correction finally end?" I answered by pointing out that the silver chart suggested the correction should be over soon week as the latest 12-week cycle in silver was bottoming

On a 12-mth basis the price performance of silver has lagged gold with a 1.5% increase, whilst gold has managed a subdued 8% rise.

It's been over twenty years but the end of the silver bear market is now firmly in sight. Since the all-time high of 1980, silver has trudged a frustrating path as investors switched in increasing numbers to paper investments throughout the 80s and 90s.

Ahh, reality is stingy, and forces us to make choices. If you stop at McDonald's for lunch you can't eat at Burger King at the same time.

The current price action in the precious metals markets have excited the gold bulls, recently we watched as gold touched the $390 per ounce level in overseas trading.

To understand what is happening in the gold and silver markets, it is necessary to understand the rules by which the game is being played.

There appear to be four "teams" of players, as follows:

Gold tends to out-perform silver during those periods when confidence in the US$ is falling and/or the US economy is weak. When the US$ is strengthening and/or the prospects for the US economy look bright, silver tends to out-perform gold.

While the past month has been an extremely active and eventful one for the gold market, the "other" metal has been shunned by comparison.

It's a fact. Gold investors believe in gold under any economic condition, but they aren't so sure about silver. Gold, they insist, is valuable and in fact undervalued.

So far, I can get it for my clients. The Mint is supposedly out, as are the US reserves. China supposedly inserted 61 million ounces into the market last year, but that is hardly enough to satisfy the demand.

In our last silver update dated Sept. 16, entitled "A silver sling-shot set-up," we wrote that December Silver futures would have the chance to "sling-shot" to as high as $4.80 based on the parabolic bowl pattern in the daily chart at that time.

The Dollar

One common complaint from those wishing attain leverage to a rising silver price has been the lack of viable investment opportunities in Australia.

Gracing the front page of the "Australian" on Saturday was the sensational headline, "Housing Bubble Ready to Burst".

Let start the interview

A potentially profitable speculator's play is developing in the stock of Silverado Gold (SLGLF), a low-priced mining share that we've been able to profit from several times in the past few months.

September 16, 2002

In a recent silver market report we noted that September silver futures were coming up on an important test of a major supporting floor. We stated our opinion that "if broken, it will all but take the remaining wind out of the silver market's sails.

In our last silver market report we noted that September silver futures were coming up on an important test of a major supporting floor. We stated our opinion that "if broken, it will all but take the remaining wind out of the silver market's sails.

September silver futures are coming up on an important test of a major supporting floor which, if broken, will all but take the remaining wind out of the silver market's sails.

The silver market has been the talk of metals traders in recent days and weeks after an extraordinary run this year, it's first healthy run in a good 4-5 years.

Whilst the major "brand name" gold producers in Australia have attained significant and at this stage sustainable share price re-ratings, the following stages of the cycle will involve the search for higher leverage.

Gold and the mining stocks have taken a severe beating of late as supply-related pressures weigh heavily against the precious metals markets.

Every day, Monday-Friday anyway, I get the question asked of me, "Which should I buy now, gold or silver?" I am aware of the silver advocates' continual urging of silver over gold, and I can't disagree with their information and predictions.

While attending the Chicago Natural Resources Conference, the owner of a well-known precious metals web site introduced himself to me.

We wrote last summer in a GOLD-EAGLE editorial that the dominant long-term and interim silver cycles were converging around the October time frame and that a major long-term cyclical bottom would occur in silver at that time.

It is time to look at the possibilities for investing in the Precious Metals Sector. I will take a look at Physical Gold and Silver. Each person will have a varying risk tolerance, and a decision must be made before it is Summertime in the Precious Metals markets....

Mining Share Analysis

The gold and silver futures markets show considerable technical weakness and should seek lower levels in coming days.

One of the most questioned and least understood areas of silver's industrial use is the digital camera arena.

Silver enthusiasts were ecstatic with the white metal's latest rally, and for good reason. The metal has shown signs of technical strength and momentum not seen in quite some time.

It can be an interesting study to plan future action based on known facts of the past -- especially in the financial markets. Hence the warning on documentation for nearly all investment vehicles: "Past performance does not guarantee future results."

Dollar dot com, is the story of the most famous currency in world history. Some of you may be old enough to remember the statements: Good as Gold, or "Sound as a Dollar." These were references to the stability and integrity of the almighty US Dollar.

Of the metals, silver is the best conductor of heat and electricity; consequently, it is used widely throughout industry. Including photographic demand, some 845 million ounces were used in 2000.