$18.50 silver?

[Norweger]

is it doable?

[1970 silver art]

Yeah it is doable. I see silver breaking 2013 intra-day low of $18.14 and I think that $14-$15 will be the low for silver for 2014 and will go further down after that.

[Norweger]

You break my heart.

[Norweger]

Better dump anything numismatic or bullion with higher premiums at these levels.

[madfranks]

$18 silver feels really depressing. Hard to remember the days when we were floating in the $40s, the $30s, and the $20s. Now we're settling back into the teens. WTF?

[Silver Rocket Bitches!]

Based on zero fundamentals. Realistically, silver should be maintaining in the $30 range if demand for Silver Eagles and weakness of the dollar is any indication. Instead, it keeps plummeting. It's all because of the paper game. It's always the paper game.

[EE_]

Yep, silver is finished. No suprise there.
The economy has recovered and we should be good to go for the next 20 years. TJPTB have complete control.
Probably the biggest surprise by the end of this year, will be a bitcoin payment system price crash. They will go the way of beanie babies, baseball cards and Pogs. There's over 300 bitcoin payment systems now and on the way to 1,000. Those that cashed out early will have done all right, but the die hards will end up with a pile of, well...nothing.
The dollar will remain king. Good real estate in hot areas is a good place to be.

[Sparky]

For those concerned about the silver price:

You bought silver for one of two reasons: 1) Insurance against financial system breakdown, and/or 2) an opportunity to make money in a speculative market.

As for the first reason, nothing has changed. You may have thought a financial breakdown was imminent, and yet it remains propped up. By now you should have learned the lesson that those propping up the market have many tools for doing so, and you should recognize that the timing of a breakdown is beyond your ability to predict. Do you fret because your house hasn't burned down yet, after all these years of paying for fire insurance?

As for the second reason, perhaps you are into something that is way over your head. ALL markets go through short to medium term periods of counter-fundamental price moves, partially via manipulation that preys on the emotional sentiments of speculators. For those of you who thought $50 silver meant $100 silver was just around the corner, you have not done your homework on how markets move, particularly markets as speculative as precious metals. These markets are meant to take your money and break your heart. I have had some good timing and some bad timing when it comes to purchases. For my bad timing, I blame only myself. This is how markets work, it has taken me years to understand this, and my poor timing choices are the cost of my education. The market price is always right, even including the manipulation, because manipulation is part of all market pricing. Markets are all about a war of sentiments and emotions among its participants. If your timing was bad, it simply means you don't know as much about this game as you thought you did. Your opponents are beating you. They have remained one step ahead of you. To say that the price should be at a certain level right now is sour grapes on your part.

As for $18.50 silver, of course it is doable. You should have learned by now that nearly any price is doable, regardless of what you think the price should be. I disagree with Silver Art Bar Josie on his $14-$15 call, but I've learned that anything can happen. My guess is that $16 is probably a floor, but I know that a lower price would break a lot of spirits, so it could certainly happen since breaking spirits is how markets take your money.

[Spectrism]

If you are standing on flat ground in a village surrounded by a market of vegetables and meats, those merchants are looking to trade what they have an abundance of for something else. When there is abundance of other things, you can trade for them. When there is an abundance of currency, prices are higher for the things sold.

Now, in this marketplace which happens to be in Zimbabwe, will the 10million Z-dollars you earned last year buy you more than the gram of silver you bought last year? No. The silver will hold its value better.

Now take away the marketplace... and let the veggies and meat be scarce. Little food and little water. There is none for sale and your silver or Z-dollars don't help. Instead, a gang of bandits arrive and steal what you have at gunpoint. But you are a well-trained combatant and before they leave, you take down one and use his gun to kill the others. Now your skills were more valuable than money, food, and guns. The local tribe respects that and bring you food for their protection.

We are on the verge of this kind of transition. War is coming and hell will soon be unleashed on earth. Silver, gold or money- all temporary stores of wealth. Be ready to use what you have for best value, looking into the distance with clear vision.

[Sparky]

Spectrism, your hypothetical seems misplaced. If this is a Zimbabwe marketplace flooded with dollars, why does it take fewer of them to buy silver than it did a year ago, or two years ago? Silver has not held its value better, as you say. It buys 15% less than it did a year ago, 30% less than two years ago, and 45% less than three years ago. There is very little in the marketplace that has LOST more of its purchasing value than silver has over this period.

How does your commentary relate to the price of silver, which is the subject of this thread? You say we are on the verge of transition. My point is that we don't know this at all. We may say dramatic transition is inevitable, but we are mistaken to assume that it is just around the corner. This is a lesson that we have been slow to learn.

[gunDriller]

Yeah it is doable. I see silver breaking 2013 intra-day low of $18.14 and I think that $14-$15 will be the low for silver for 2014 and will go further down after that.

Heck Yeah $18.50 is doable.

that's 1 1/2% down from this morning's low around $18.80. not a big deal.


Silver is currently one of the lowest priced commodities, relative to other commodities. It was tracking lower with copper, but gave up that correlation when Copper climbed back into the $3's and silver retreated to the $19's.


I wonder how much of production costs are in the $21 range, the $15 range, the $9 range. I have seen all sorts of numbers reading mining articles.


I think a big part of the games we have seen since the price action of April 12/ 15 2013, is (in addition to being an expression of the Strong Dollar policy and all the currency manipulation teams & games assoc. with it), is to twist the arms of the miners to hedge their production.

If they hedge at $20 per ounce, the profits from any price rises will accrue to the bullion bank that sold them the contract - or whoever they re-sold the hedge contract to.

[Silver Rocket Bitches!]

We're close to the edge here. If it goes any lower, mines will start closing in droves. If that happens it will choke supply. Can't wait to see what happens.

[Spectrism]

Spectrism, your hypothetical seems misplaced. If this is a Zimbabwe marketplace flooded with dollars, why does it take fewer of them to buy silver than it did a year ago, or two years ago?

No... re-read it. I said the opposite.



Silver has not held its value better, as you say. It buys 15% less than it did a year ago, 30% less than two years ago, and 45% less than three years ago. There is very little in the marketplace that has LOST more of its purchasing value than silver has over this period.

In Z dollars, we saw nothing but devaluation of that currency. Don't mix metaphors in time zones. I used the devaluation of Z dollars to illustrate the way the US dollars will devalue compared with silver. Z dollars in the past example.... US dollars in the future.




How does your commentary relate to the price of silver, which is the subject of this thread? You say we are on the verge of transition. My point is that we don't know this at all. We may say dramatic transition is inevitable, but we are mistaken to assume that it is just around the corner. This is a lesson that we have been slow to learn.

There is a chain of events to unfold. That chain will be much like this:

unemployment and underemployment ---> destruction of US marketplace ---> drop in sales volume

---> falling business production ---> more unemployment ---> less $$ to buy non-essentials

---> drops in certain assets (some temporary and some permanent) ---> system crash

---> bank failures and business closings ---> fiat money becomes worthless as money takes other forms

When the system crashes, the US dollar will crash too. The few essentials available won't be traded for paper dollars.

[gunDriller]

We're close to the edge here. If it goes any lower, mines will start closing in droves. If that happens it will choke supply. Can't wait to see what happens.

http://allthingsd.com/files/2011/05/rocket.jpeg


it's interesting how it becomes logical to pick $18.50 as a price point, not $18.55.

i ask because i wonder if the market collectively works the same way. targeting round numbers with buy and sell triggers. ($18.50 is sort of a round number).


that's not to say it will hit $18.50 exactly.

[Dogman]

Cycles of boom and bust, market is driven by demand, demand drops and supply's/prices bust! Rinse and then repeat, once supply drys up prices go higher, mines open and kadybarthedoor, then repeat.

Ever hear of the story about the tulup and people that wear wooden shoes, and their investor's?

[VX1]

All I know is I got my buy order in at 8:12am EDT this morning, at the very bottom of today's activity, and I have a 'gut feeling' that's as low as she's going to go. I'm very patient, and it's been years since I've pulled the trigger.

[osoab]

All I know is I got my buy order in at 8:12am EDT this morning, at the very bottom of today's activity, and I have a 'gut feeling' that's as low as she's going to go. I'm very patient, and it's been years since I've pulled the trigger.

great success in that trade.

[aeondaze]

All I know is I got my buy order in at 8:12am EDT this morning, at the very bottom of today's activity, and I have a 'gut feeling' that's as low as she's going to go. I'm very patient, and it's been years since I've pulled the trigger.

No sub $18.50 silver yet, but kudos to all those that took the opportunity to pull the trigger at lower prices...

...$20.80 at the moment \uu\

I picked up some 1 oz Crocs a few days ago @ $19.50...nice lookin' coins and reasonably priced, they're cheaper than kooks and koalas!

http://cdn.goldstackers.com.au/store/media/catalog/product/cache/1/image/9df78eab33525d08d6e5fb8d27136e95/c/r/crocodile3.jpg

Anyhow, the question I keep asking myself is how many more times is the price going to puch down to the $18.50 level before it makes a solid move beyond $30?

I was predicting that it was going to be $30 in July, but I'm not so sure at all anymore.

Looking back I remember it hovering for liker a year around the $17 to $19 region after it got slamed down to $8.50 in late 2008/early 2009...then it spent the next nine months going vertical...:o

Giddy days, hey kids?

The other point to make about that $17 to $19 region is thats where the price peaked to before the smackdown as well. If the next phase is anything like that, the next leg up will have major resistance at $50. So its not going to shoot vertically up beyond here immediately.

It will move up in an orderly fashion to $50 like it did to $17 to $18 in 2009/2010 .

Then moonshot =====> $120 to $150 (or maybe even just a round $100 initially) at which time $50 becomes the new support...

I don't think I'm saying anything revolutionary here, everyone knows about support and resistance. I've just been getting a little bored of all the prognosticators and just wanted present some rational perspective on price movement.

My gut feeling is it won't ever go below $18.50 BEFORE it takes out $50...I cant see $8.50 or even $13.50 silver again for a long time to come...

:cool:

[gunDriller]

Silver has made the round-trip from the $18's to the high $20's about 4 times, including the June 2013 lows.

But the whole game ends as soon as very small amounts of capital start entering the PM markets.

This week's action was started by the purchase of about 10 tons, followed by the piling on of momentum investors.

[Sparky]

No sub $18.50 silver yet, but kudos to all those that took the opportunity to pull the trigger at lower prices...


I snagged a handful at about $18.85.




...$20.80 at the moment \uu\nyhow, the question I keep asking myself is how many more times is the price going to puch down to the $18.50 level before it makes a solid move beyond $30?



I don't think it's going to make it to $18.50 again. It may drop below $20 over the next month, which tends to be the seasonal low period. But I think there will now be a lot of buyers at sub $20, so it will be hard to go much lower.





The other point to make about that $17 to $19 region is thats where the price peaked to before the smackdown as well. If the next phase is anything like that, the next leg up will have major resistance at $50. So its not going to shoot vertically up beyond here immediately.

It will move up in an orderly fashion to $50 like it did to $17 to $18 in 2009/2010 .

Then moonshot =====> $120 to $150 (or maybe even just a round $100 initially) at which time $50 becomes the new support...

I don't think I'm saying anything revolutionary here, everyone knows about support and resistance. I've just been getting a little bored of all the prognosticators and just wanted present some rational perspective on price movement.



I think this is about right. I think we're setting up for a prolonged upleg. It may take through the summer to finally emerge, but I think we are in for an orderly move from $20 to $50 that will take 18-24 months. By orderly, there could be a number of surges and retreats, but I expect an orderly series of higher highs and higher lows.

I agree about the resistance at $50. It's common to require three shots at breaking major resistance, with the third finally punching through. That will probably open the gate for the final run-up over a 6-12 month period, probably in 2017. I think the top will be somewhere in the middle of your $100-$150 range. After that, this bull cycle will be over and prices will subside for a generation.

I've often thought about when the peak gold/silver price will occur relative to peak financial doom. Under this 2017 scenario, the financial crisis may climax during the 10-year period following 2017. This would imply a deflationary period. If it is inflationary, I still think silver's peak purchasing power will come in 2017. For instance an ounce of $20 silver today buys 6-7 loaves of bread. $125 silver might buy 15-20 loaves of bread at $7/loaf. Then if high inflation ensues and the silver price extends even higher, $200 silver might buy 10 loaves of bread at $20/loaf. I don't see $200 silver, but it's not out of the question.

I could see the long-term post-peak silver price retreating to either $20 or $50 for a full generation. Yes, there will be a lot of support at $50. But that will likely only be a third of peak price. In the 1980's, the bottom was less than a tenth of peak price. That would be argument for the $20 level. But perhaps I'm looking too far ahead, for when my unborn grandchildren are adults and planning their own stacking strategy...




My gut feeling is it won't ever go below $18.50 BEFORE it takes out $50...I cant see $8.50 or even $13.50 silver again for a long time to come...

:cool:

Anything can happen, but I expect that we won't ever see $8.50 or $13.50 again.

[BrewTech]

If you are standing on flat ground in a village surrounded by a market of vegetables and meats, those merchants are looking to trade what they have an abundance of for something else. When there is abundance of other things, you can trade for them. When there is an abundance of currency, prices are higher for the things sold.

Now, in this marketplace which happens to be in Zimbabwe, will the 10million Z-dollars you earned last year buy you more than the gram of silver you bought last year? No. The silver will hold its value better.

Now take away the marketplace... and let the veggies and meat be scarce. Little food and little water. There is none for sale and your silver or Z-dollars don't help. Instead, a gang of bandits arrive and steal what you have at gunpoint. But you are a well-trained combatant and before they leave, you take down one and use his gun to kill the others. Now your skills were more valuable than money, food, and guns. The local tribe respects that and bring you food for their protection.

We are on the verge of this kind of transition. War is coming and hell will soon be unleashed on earth. Silver, gold or money- all temporary stores of wealth. Be ready to use what you have for best value, looking into the distance with clear vision.

I thanked this because it was well written. Spec, you should write a novel... I would totally buy it and read it. You gotta gif' my frien'!

[osoab]

Will get there by tomorrow? 18.65 currently

[aeondaze]

Will get there by tomorrow? 18.65 currently

18.46 lowest for the day, back up to 18.58, so technically we went under 18.50 today.

Volumes are pretty high, not as high as the April 2013 smackdown, but over the previous month volume is the next highest since then. MACD is a little ambiguous, depending on what timeframe one looks at. On a longer term it could foretell the next upleg, on a shorter term it may mean another few months of sideways action or maybe a push below $18 before options expiration next week on the 20th.

Lets see what she looks like at close of markets later today...:rolleyes:

[Horn]

The impossibility of the dollar strengthening beyond current levels should bring confidence to Russian investors.

Anyone anywhere else is an outvestor.

[madfranks]

Currently down $.50, almost at $18 even. What gives?

[gunDriller]

Currently down $.50, almost at $18 even. What gives?

Highly entertaining.

Watch copper & oil & the USD index.

Silver tends to track with copper and gold. When they go in different directions ...


Oil is down. USD WAAAY up.


Possible effect from 'Morning after' Scotland independence vote. Euro nerves boost the US $.

[Spectrism]

It broke the $18.17 barrier and the next is in the $17 range. Hold off on buying until it craters.

[osoab]

Currently down $.50, almost at $18 even. What gives?

Damn Scotsmen.

[Silver Rocket Bitches!]

$17.89

What a great time to buy.

[mick silver]

beat me to it ... dam 10 buck silver here we come
$17.89

What a great time to buy.

[gunDriller]

it's not the bottom for silver

unless it's the bottom for gold.


gold is not liking going below $1215. it tips its toe into $1214.80 and jumps back, like it's shy.


I think part of the 'behind the scenes' for this price action is that a bunch of traders, Jews and Shabbas Goyim, are sitting at terminals executing the orders of their Jew bankster elders ... at 4 PM on a Friday afternoon, in New York City.

I wonder if they wear their Yarmulke's while they manipulate currencies ?

[Horn]

Damn Scotsmen.

What I was thinking

[osoab]

What I was thinking

Could have been the miracle of "Alibaba".

http://www.zerohedge.com/sites/default/files/pictures/picture-5.jpg (http://www.zerohedge.com/users/tyler-durden)
Precious Metals Liquidated To Make Room For Alibaba, Silver At Four-Year Lows (http://www.zerohedge.com/news/2014-09-19/precious-metals-liquidated-make-room-alibaba-silver-four-year-lows)

[gunDriller]

volcano in Iceland
Russian moves re Ukraine
US-Israel- scary Muslim bullshit
ME Muslims defending their homes from US & Israel


just imagine all the geo-political triggers that (we are told) correlate to higher gold prices.

i was thinking, why don't some miners just buy 1000 ounce bars at these prices ? if they have a contract to sell at $21 and can buy at 29 cents over spot (typical for 1000 ouncer), so they're buying at $18.08 - a quick 10% on their money.

sure it would crush the market, but it seems, nobody cares.

http://www.apmex.com/product/84087/902-6-oz-silver-bar-johnson-matthey

[TheNocturnalEgyptian]

http://i.imgur.com/V9SrVgW.jpg

17.79 today.

[gunDriller]

$17.50 - the lowest close for Wilver in 4 years.

[Sparky]

...

As for $18.50 silver, of course it is doable. You should have learned by now that nearly any price is doable, regardless of what you think the price should be. I disagree with Silver Art Bar Josie on his $14-$15 call, but I've learned that anything can happen. My guess is that $16 is probably a floor, but I know that a lower price would break a lot of spirits, so it could certainly happen since breaking spirits is how markets take your money.

Wondering how many spirits are being broken these days.

[Hitch]

Wondering how many spirits are being broken these days.

This spirit is still strong and thinking of loading up.

You called things Sparky! That's for sure.

[osoab]

$17.50 - the lowest close for Wilver in 4 years.

That is one ugly 5 yr chart.

http://www.finviz.com/fut_chart.ashx?t=SI&cot=084691&p=w1

[gunDriller]

That is one ugly 5 yr chart.

http://www.finviz.com/fut_chart.ashx?t=SI&cot=084691&p=w1

depends on perspective, i guess.

looks like a wonderful buying opportunity to me.

obviously, it sucks for people who need to sell PMs for cash in the 2013-2014 time-frame (except for the possible gold-silver trade leveraging the GSR.)


there's a saying, "the best cure for low prices is low prices, the best cure for high prices is high prices."

with the Cartel's manipulation, the normal pricing & supply function that is performed in a normal market, is totally fvcked up.

these prices give miners the incentive to reduce production - which they are doing.

coupled with increasing demand, it sets up the situation for an epic squeeze & shortages.

of course, there are some things we don't know -

** the miners' marginal cost on Silver.

** how much physical Gold is left to support the Cartel games.


the bullion banks (part of the Cartel) twist the arms of the miners to hedge their production, and these prices give the Cartel a massive hammer to beat the miners with.

that allows the Cartel to get the profits when the prices rise.


Quite a Scam.

[mick silver]

Once again, US economic "happy talk" has created a dollar updraft – and that means that the gold price against the dollar moved down. The US is said to be in recovery with the various collateral impacts that presents for stocks, interest rates and, of course, the gold/dollar price ratio. - See more at: http://www.thedailybell.com/trends-and-sector-reports/35644/Weekly-Gold-Trend-Analysis-Dollar-Rises-Against-Gold-as-Sellers-See-Fed-Hikes/#sthash.9ocwFBR5.dpuf

[Sparky]

You have to keep in mind that the Dollar's value is measured relative to other currencies. That's why I've been saying the USD will be getting stronger and not weaker, as other currencies continue to be diluted at a faster pace. The only risk to the dollar in the near term is an organized monetary attack from countries like Russia and China. In order for them to do so, they have to be willing to absorb the economic pain that it would inflict on their own countries, which is politically difficult. Even then, it's not clear that they have sufficient reserves to put more than a temporary (but painful) dent in the USD.

The thing to look for is how long it takes for countries (and the global investment community) to turn to gold as an alternative to the USD. This process began in 2000. The big swings in price are the speculators and manipulators jumping in and out to exploit the long term uptrend. This is how markets work. Many countries (especially Russia and China) are moving to gold, but all in the context of price manipulation, in which they are probably participating while they are in the physical accumulation phase.

Normally, the USD and gold move in opposite directions. You'll know that we are heading toward an unsettling financial time when they begin to move in the same direction, because it will mean that the rush to the fiat currency exit is so large that a second alternative to the USD is required in order to meet the demand. The USD will also experience price swings over the next decade, but the general direction will continue to be UP. As I've said, it can't possibly collapse until the Yen and Euro have collapsed, because those currencies have even less backing (military force, natural resources, etc.) than the USD.

Silver? Silver follows gold. Not in a straight line, but more in the way that a cat will follow you, with many detours along the way. Sometimes it gets ahead of you, sometimes it falls behind you, and sometimes it wanders off to the side. But you both eventually end up at the same place.

[gunDriller]

a lot of these raids raids are occurring at about a half hour before the 8 AM open.

4:30 AM Pacific time.

so if you want to be awake and CAFFEINATED for the interesting part of the trading day, boy do you have to get up early !

Silver was about $17.10 when I got up today.

this image will change but it will show today's action for another few days -

http://www.kitco.com/images/live/silver.gif

[Spectrism]

It will have to stay down for a period of time in order for physical to drop. An ounce is costing as much as $4 over spot.

[EE_]

It will have to stay down for a period of time in order for physical to drop. An ounce is costing as much as $4 over spot.

CNI has Eagles - spot + 2.40, Maples - spot + 2.00, Rounds - spot + .80

I think it will be time to buy silver at $14.00 and gold at $980

[Spectrism]

CNI has Eagles - spot + 2.40, Maples - spot + 2.00, Rounds - spot + .80
I think it will be time to buy silver at $14.00 and gold at $980

That is much better than APMEX.

http://www.golddealer.com/product/canadian-silver-maple-leaf-1-oz/

[Steal]

That is much better than APMEX.

http://www.golddealer.com/product/canadian-silver-maple-leaf-1-oz/


Have been sitting on my hands for 4 yrs now. Got a silver Britannia horse privy, $18.70 while supplies last. (good price on govt mint coin)

http://www.jmbullion.com/2014-horse-privy-british-silver-britannia-lot-10/

[Silver Rocket Bitches!]

How low can she go

http://gold-silver.us/forum/attachment.php?attachmentid=6833&stc=1

[osoab]

http://mlm-s1-p.mlstatic.com/rock-mexicano-silver-rockets-lp-12-3747-MLM56091090_11-O.jpg

[Hitch]

Have been sitting on my hands for 4 yrs now. Got a silver Britannia horse privy, $18.70 while supplies last. (good price on govt mint coin)

http://www.jmbullion.com/2014-horse-privy-british-silver-britannia-lot-10/

Been sitting on my hands for awhile now too. Been wanting silver Britannia's so took the plunge. Great price! Thank you.

[Sparky]

As for $18.50 silver, of course it is doable. You should have learned by now that nearly any price is doable, regardless of what you think the price should be. I disagree with Silver Art Bar Josie on his $14-$15 call, but I've learned that anything can happen. My guess is that $16 is probably a floor, but I know that a lower price would break a lot of spirits, so it could certainly happen since breaking spirits is how markets take your money.


Wondering how many spirits are being broken these days.

$16.26 this morning. Still haven't made it to the $16 mark yet.

[Spectrism]

I hate to say it but the $12 range is a possibility.

We broke the $17 mark and still trending down. The next bottom will be around $14.90 depending on timing. If that gets broken, we have a bottom scraper at about $12 +/- 1%, again, depending on timing.

[madfranks]

I hate to say it but the $12 range is a possibility.

We broke the $17 mark and still trending down. The next bottom will be around $14.90 depending on timing. If that gets broken, we have a bottom scraper at about $12 +/- 1%, again, depending on timing.

And then from there the new bottom will be $9, then $6, and then $3 when we're all buying silver as cheap as Ponce back in the day.

[Sparky]

And then from there the new bottom will be $9, then $6, and then $3 when we're all buying silver as cheap as Ponce back in the day.

Yes, perhaps someday we will be chiding Ponce for paying such a lofty price.

[JohnQPublic]

I remember last time it hit $14 I ran out and bought some. I did not expect it to head back there.

[chud]

Gold loses luster as retail investors look to silver

By Joanna Campione
November 12, 2014
Yahoo Finance

As the price of silver bounces around four-year lows, retail investors are diving in. Money is pouring into silver exchange traded funds and silver coins, according to a report in The Wall Street Journal.

The U.S. Mint said last week it had temporarily sold out of its American Eagle silver coins pointing to "tremendous" demand in the past several weeks. In a statement sent out to its largest U.S. coin wholesalers, the U.S. Mint said it will continue to produce 2014 coins but no additional inventory is currently available.

According to Bloomberg News, American Eagle silver coin sales jumped 40 percent in October, selling 5.79 million ounces worth of the coins. That was the most since January 2013, when the silver coin sales reached an all-time record of 7.5 million ounces.

Individual investors are also diving into the largest silver ETF, ishares Silver Trust (SLV), which buys silver bars. The Wall Street Journal reports that the ETF has accumulated 345 million ounces of silver, the largest amount in more than three years. Shares are down almost 20% year-to-date.

Why silver, why now? Gold is also trading around its lowest level in four years. Shares of the gold ETF (GLD) have performed better than ishares Silver Trust, year-to-date. Analysts at Blanchard, a precious metals and rare coin dealer, put out a note this week recommending investors sell gold and buy silver "because the price ratio is so disconnected between the two that silver is that much more attractive right now.”

In the accompanying video, Yahoo Finance Editor-in-Chief Aaron Task notes this is "something that happens not with great frequency for a gold dealer—a coin dealer – to say 'sell your gold coins'. But they’re saying silver looks very attractive right here.”

Retail investors typically play a bigger role in silver than in other precious metal markets. The main reason is because it’s cheap compared to gold on an absolute price basis. But as the dollar continues to strengthen, plays in silver and gold aren’t looking so strong. Institutional investors know this, but retail investors are usually late to the game.

Task says this gets into the psychology of retail versus institutional investor. “Retail investors get wedded to an idea,” he says. They attach to "the idea that the Fed is going to destroy the dollar even in the face of the fact that there is no or very little inflation as far as economists or the Fed measures it. And the dollar is rallying very sharply. [But they] still believe it.”

ETFs are a way for retail investors to own silver in a “paper” way, Task says. “But if you really believe that the dollar isn’t real money then you should buy the coins, buy the actual silver.”

Source: http://finance.yahoo.com/news/retail-investors-dive-into-silver-161233995.html

[madfranks]

As the price of silver bounces around four-year lows, retail investors are diving in.


Yeah, they're diving in so much that the price is still going down.

[1970 silver art]

Yeah, they're diving in so much that the price is still going down.


It is just a bizarro world of the more they buy, the lower it goes. Just some banking cartel playing tricks on you with their paper schemes. :)

[1970 silver art]

The good thing about $18.50 was the fact that I bought a bunch of '70's silver art bars for $18.50 or less (when spot was less than $18.50 in 2014) during the last 2 months of 2014. :)

[Spectrism]

Wish you could see 2007 prices again? Well, on paper, we are there.

7916

[Spectrism]

I hate to say it but the $12 range is a possibility.

We broke the $17 mark and still trending down. The next bottom will be around $14.90 depending on timing. If that gets broken, we have a bottom scraper at about $12 +/- 1%, again, depending on timing.

I was only about 6 years early.

We scraped just under $12. JPM is probably about out of short positions. Just try to get physical silver better than $17. Not to be had at the moment.

Could it go lower? Yes, there is a major shake-up in the works... but, any plan they implement will be at the death of the dollar and other fiat currencies. And mines will shut down rather than lose money getting ore out of the ground. Perilous times now.

[osoab]

I was only about 6 years early.

We scraped just under $12. JPM is probably about out of short positions. Just try to get physical silver better than $17. Not to be had at the moment.

Could it go lower? Yes, there is a major shake-up in the works... but, any plan they implement will be at the death of the dollar and other fiat currencies. And mines will shut down rather than lose money getting ore out of the ground. Perilous times now.

Good to see you around Spec. How have things been?

[hoarder]

Could it go lower? Yes,Paper silver could go to zero, or any number TPTB want it to be. Paper silver, like the spot price, is not subject to the law of supply and demand.
Spot price is down about 4 or 5 bucks from where it has averaged for several years, yet physical silver still costs as much as it has for years.
This is because physical silver is still subject to the law of supply and demand (in spite of distorted perceptions caused by the price of paper silver) and spot price is not.
There is now a complete disconnect between "spot price" and physical silver.

[EE_]

If someone is interested, you could check them out
https://www.scottsdalemint.com/shop/?swoof=1&pa_price=100-01-500&product_cat=silver&pa_style=bars

[Spectrism]

Good to see you around Spec. How have things been?


Thanks osoab. Been busy. Lately getting crazy. I expect to see alot of people blow their gaskets. Times like these is why we prepped and learned new skills. We are about to see things this world has never seen. I expected this to happen between 2011 and 2018. My timetable has been off. Better early than late.