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The following silver chart will be familiar to everyone who follows my work. I first presented this pattern in my newsletter about twenty years ago, and I have been tracking it closely ever since, though recently there has been a twist to the way this pattern has developed. I have been describing silver’s long-term chartRead more

At the beginning of the year, I wrote: “The financial system has become so abnormal, the Fed has to keep inflating to prevent the system from literally going off the rails. But the irony is that eventually the financial system dies as a consequence of accumulated inflation.” I then went on to identify three thingsRead more

May 30, 2011 – Bull markets do not move in a straight line, nor do the price of gold and silver.  Their price advances, and then retreats to ‘correct’ the previous advance. For the past four weeks, gold and silver have been going through one of these periodic price corrections. During these corrections, underlying supportRead more

February 14, 2011 – Back in April 2007, I wrote about the three stages that appear in every bull market, and more to the point, that gold was approaching the end of stage one.  Gold back then was still trading around $690, and therefore well below its then record high of $850 reached in JanuaryRead more

February 12, 2011 – In precious metal bull markets, silver outperforms.  Its price climbs at a faster rate than gold’s price.  The reverse happens in bear markets.  Silver’s price drops at a faster rate than gold’s price.  The following chart of the gold/silver ratio illustrates this phenomenon. At the peak of the last precious metalRead more

December 4, 2010 – The scramble for physical gold and silver is intensifying.  People increasingly want to own the real thing, and not some paper substitute, all of which come with counterparty risk.  This conclusion is apparent from the following two charts of gold and silver forwards, which are based on data made available byRead more

December 1, 2010 – Both gold and silver demonstrated some spectacular performance yesterday, climbing 1.4% and 3.8% respectively from the previous day’s closing price.  November is the eighth month that gold has risen this year to generate its 26.5% year-to-date appreciation.  Silver has also risen eight months this year, and so far is up aRead more

November 14, 2010 – Silver’s short-term uptrend remains intact, notwithstanding silver’s big price drop on Friday.  The fundamental factors driving silver higher have not changed.  The outlook for silver remains very bullish. There has been no damage to silver’s technical condition.  For example, silver is above its 21-day moving average.  Also, silver remains well aboveRead more

There is nothing scary about these charts, provided you own some physical gold and/or silver.  Both precious metals are in clear uptrends.  Both precious metals are making new highs – record highs for gold and 30-year highs for silver. Charts are one of the important tools that I use when looking at markets.  They provideRead more

There is a battle beginning as silver approaches $21, its highest price in 30-years.  There is a lot at stake. Those who are short silver don’t want their losses to become any bigger than they already are.  On the other side of the trade, everyone who is long silver wants to see silver appreciate toRead more