Silver Head Fake?

letter jun 22 silverThe blue line in the silver chart below shows support around $19, going back 7 months. In the last few days of May, the silver price broke below that line. But by June 10, the price broke out through the line sharply. The breakdown at the end of May was a false breakdown.
Thursday’s price move also drove above the 100-day and 200-day moving averages (not shown). In March, silver had dropped below both averages, which have been falling for a long time.
No matter how you look at the price chart, the sharp spike in the silver price appears very bullish.
This is a good opportunity to reiterate our long-standing advice.   Never naked-short a monetary metal.

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Totally Normal Gold & Silver Dump & Pump

silverThe totally normal gold and silver market have gone vertical after their NFP release smash as the cartel HFT algos seek to trigger every stop possible, with silver rocketing over $1 back over $29 to $29.39, and gold up $25 to $1585.

Because this is what a freely traded market looks like…. [Read more...]

The Tale of Three Silver Premium Spikes

Our friend Chris Duane of Dont-Tread-On.me examines three recent premium spikes seen in physical silver, their causes, and what the spikes mean about the silver market.

Duane examines the late 2008 spike caused by a massive paper silver sell-off during the 2008 financial crisis, the premium spike/shortage seen in March/April 2011 due to massive demand as silver neared $50, and the recent spike in premiums this January as a shortage of Silver Eagles and Maples developed as the Mints stopped production and rationed silver.

The Tale of Three Silver Premium Spikes [Read more...]