Silver still holding...

[karim0028]

So, as the market got taken to the cleaners again for another -500.00 point down day (2nd time in 2 weeks)....

Silver is still @ 39.xx, its started gaining traction around gold as well (up ~3% today)..

What are your guys thoughts? This relative strength against the market (Dow/SP, both lost around 20%) is kind of impressive, it didnt get taken to the wood shed...

This looks like strength to me...

[piranha82]

Re: Silver still holding...

EJ,

This relative strength of silver against the market is impressive. Do you still think it goes down to 25? 30? I am short @ 41 and I would appreciate your thoughts. Thanks

[drumminj]

Re: Silver still holding...

@piranha: You're just ensuring this thread gets moved to the 'Select' section so us freeloaders can't see the response to Karim's post from other members. Perhaps an 'Ask iTulip' type question?

[jpatter666]

Re: Silver still holding...

IMO, during periods of high volatility (i.e. the sky is falling!) silver will act as a monetary metal.

Outside of that, it reverts to industrial and might fall back.

So yeah, it may indeed get back to $25 but it could be a wild, wild ride getting there.

One final comment -- $25 it may be yet, but it may be $25 in 2011 dollars. (i.e. if inflation really slams the dollar it may be $25 in 2011 dollars, but the price might be $50)

[Chomsky]

Re: Silver still holding...

So, as the market got taken to the cleaners again for another -500.00 point down day (2nd time in 2 weeks)....

Third time, but who's counting?

[karim0028]

Re: Silver still holding...

IMO, during periods of high volatility (i.e. the sky is falling!) silver will act as a monetary metal.

Outside of that, it reverts to industrial and might fall back.

So yeah, it may indeed get back to $25 but it could be a wild, wild ride getting there.

One final comment -- $25 it may be yet, but it may be $25 in 2011 dollars. (i.e. if inflation really slams the dollar it may be $25 in 2011 dollars, but the price might be $50)

No, no, no.... Thats not gonna work... :-) Bc, to get out of the trade and say its 25 in inflation adjusted dollars; well what about the money you would have had in silver... Its just got decimated by inflation as well... So, you kind of lost out twice.... The dollar value as well as the nominal silver appreciation...

[karim0028]

Re: Silver still holding...

Third time, but who's counting?

Yeah, i kind of lost count...

[jpatter666]

Re: Silver still holding...

No, no, no.... Thats not gonna work... :-) Bc, to get out of the trade and say its 25 in inflation adjusted dollars; well what about the money you would have had in silver... Its just got decimated by inflation as well... So, you kind of lost out twice.... The dollar value as well as the nominal silver appreciation...

Yeah, yeah, yeah -- caveat: there are much better investments. ;-)

Happy? ;-)

[karim0028]

Re: Silver still holding...

Yeah, yeah, yeah -- caveat: there are much better investments. ;-)

Happy? ;-)

Although i will say the strength has only been in not collapsing with the market.. It hasnt matched the frantic up pace of gold... gold just wont stop going up yet.... Damn near 200 dollars/oz higher in the last week... But, when consolidation in gold comes will be the real test for silver...

[LargoWinch]

Re: Silver still holding...

So, as the market got taken to the cleaners again for another -500.00 point down day (2nd time in 2 weeks)....

Silver is still @ 39.xx, its started gaining traction around gold as well (up ~3% today)..

What are your guys thoughts? This relative strength against the market (Dow/SP, both lost around 20%) is kind of impressive, it didnt get taken to the wood shed...

This looks like strength to me...

The ratio at the peak of 33:1 or so has not held however.

Switching from Silver to gold on Apr.29th was the right thing to do.

[jpatter666]

Re: Silver still holding...

I agree. And it's at that point that the silver short should really pay off. During times of calm, IMO silver reverts back to an industrial metal and as an industrial metal it should plunge.

[Adeptus]

Re: Silver still holding...

I agree. And it's at that point that the silver short should really pay off. During times of calm, IMO silver reverts back to an industrial metal and as an industrial metal it should plunge.

Except when:
a) The number of "times of calm" reduce from here on, until we have a new monetary system
b) Physical silver continues to deplete from exchanges (comex is near all time lows again @ 27 million ounces).
c) Gold goes past $2,000 and joe blow can't afford it so they start buying silver instead.
d) Gold skyrockets and continues to bring silver up with it.
e) When Euro & China middle class wake up to what's going on and can't afford gold, they know silver is also money.
f) When Treasuries get downgraded again, it's game over.

[pianodoctor]

Re: Silver still holding...

Alternate theory: While silver has maintained in the stock crash, it has done nowhere near as well as gold, and perhaps that will cause the 'believers' to doubt it is the hedge they thought it was and that maybe they ought to jump off the silver boat and on to the gold boat after all.

[Starving Steve]

Re: Silver still holding...

The silver performance is signaling a few messages:

a.) de-flationary blow-out ahead;
b.) depression ahead;
c.) gold is in the final blow-off stage of a bubble, now going exponentially upward;
d.) copper, wheat, oil, silver, among other commodities are all signaling the same de-flation message;
e.) real estate is signaling de-flation;
f.) debt-repayment is causing de-flation;
g.) silver is in non-confirmation of the gold rally;
h.) silver at $50 might mean $2500 gold ( using 50:1 ) to signal an inflationary depression ahead;
i.) a de-flationary blow-out might mean 70:1, thus $15 silver might mean $1050 gold;
j.) an uncertain market pointing toward de-flation means what we have now: $39 silver and $1800 gold ( 46:1 )
k.) stock market panic worldwide is pointing toward a de-flationary blow-out and depression ahead.

[metalman]

Re: Silver still holding...

The silver performance is signaling a few messages:

a.) de-flationary blow-out ahead;
b.) depression ahead;
c.) gold is in the final blow-off stage of a bubble, now going exponentially upward;
d.) copper, wheat, oil, silver, among other commodities are all signaling the same de-flation message;
e.) real estate is signaling de-flation;
f.) debt-repayment is causing de-flation;
g.) silver is in non-confirmation of the gold rally;
h.) silver at $50 might mean $2500 gold ( using 50:1 ) to signal an inflationary depression ahead;
i.) a de-flationary blow-out might mean 70:1, thus $15 silver might mean $1050 gold;
j.) an uncertain market pointing toward de-flation means what we have now: $39 silver and $1800 gold ( 46:1 )
k.) stock market panic worldwide is pointing toward a de-flationary blow-out and depression ahead.

a.) a monkey might fly out my ass at any time
b.) rabbits survive for years inside nuclear plants
c.) deflation is inflation is monkeys & rabbits all at the same time
d.) rabbits will rally to $230394830948 & moneys will crash
e.) i eat plutonium for breakfast
f.) sprinkle it on my Wheaties
g.) deflation makes prices go up
h.) i don't own any gold
i.) a voice speaks from me in my silver in my fillings... tells me when to poop
j.) $39 silver says deflation crash
k.) deflation ahead as world goes back on gold standard and moneys fly out of my ass by the 100s