If you have ever read any of my wild ululating rants, you know I am a huge silver bug. It is the PERFECT speculative play. Manipulated like crazy, historical (over 6,000 years) of having a monetary basis, crazy industrial applications, drying up in mining sources, insanely out of sync with its monetary big brother (gold), and having a history of skyrocketing eyepopping runs that way eclipse gold when gold surges.
But I don't trust it. I am like the guy who married a super hot, amazingly beautiful talented woman and then finds out she has been sleeping around (happened to a friend of mine.... after 30 years of marriage!). You can't trust it. It oughta go up, and you see it screaming skyward (like right now) and you think "NOW is the time to borrow everything I have access to and throw it all onto COMEX futures, and I will retire a gazillionaire"..... but you don't. And you don't because silver is an unfaithful slut. Just when you think the stars have all aligned and the big boys have run out of manipulative gunpowder (they naked short the stuff with paper silver backed by NOTHING, so that if people called for delivery of what they have "sold" them, there are around 30x more silver "sold" than actually exists), the ratios have gotten totally out of hand (the ratio of gold to silver in the "real world" is about 15:1, at which ratio, the price for silver "SHOULD" be about $125 dollars per ounce. Instead, after an amazing run in the past few days, it has gone from 125:1 to 83:1 and is about 22 dollars an ounce.
22 bucks is an AMAZING run. Less than six months ago, we were down around 13 or 14 dollars an ounce. Almost a 100% gain. Confidence in the dollar is collapsing and the Chinese are attempting to engineer the Yuan as an alt currency and EVERY COUNTRY AROUND THE WORLD DESPISES THE STUPID ARROGANCE of the US central bankers and wall street in abusing our privlileges as the world's reserve currency. We are tottering on a mountain of overinflated debt, ruining the very reason the world took the dollar as that currency, stupidly assuming we can continue to coast along while cutting the ground from under our feet, and the world economy is actively harmed... and we are fat dumb and happy, thinking things will go on like this forever....because " 'Murica."
All this and much more point to an impending collapse of the USD, and silver is the PERFECT hedge here, because when gold runs, silver goes into hyperdrive.......... All this I understand. I do. But I am cautious. Because it has been like this for about 40 years (I first started learning about this in the 70s, though I did nothing about it). Silver has tantalized, beckoned, and "come hither"ed so many times and I have thought "THIS IS IT!" ..... and then watched it collapse faster than it went up! lol.
So is the current crazy mess finally "it?" Is silver finally going to $100 or even spectacularly higher, if gold continues to run and goes to 4 or 5 thousand dollars an ounce? One day, it will, of that I’m sure. Maybe that is where it’s going on this move. Silver to $100 will just be another episode in the insane year that is 2020.
But when you play silver, just remember this: it is utterly unreliable. It lies. It ALWAYS lies. It is like your buddy the alcoholic. He has unbelievable potential.... smart, charming, witty, good looking and you think, "this guy/gal should have it all....." if s/he could only kick.... and s/he is sober and clean! They’re off the booze, they tell you; they’ve got their life back on track – they’ve got a fantastic new job, they’ve re-married. Then they show up at your important job function totally sh*t faced, insult your boss, pick a fight with someone, and the next thing you know they’re wandering round the grounds with a plastic bag shouting at trees gathering sticks and weeping about them, or some other incomprehesible and sad actvity.
Silver’s going up. It has further to run.... but today it is down a quarter. It is fickle. Enjoy the ride. When it goes parabolic, I feel like Michael Douglas describing the first big money he ever made, when he said "it is better than sex." Exactly. When this thing rockets there’s no feeling like it, and you think "this is never going to end... YIPPEE!!!!" But I am telling you, they can also stop and reverse on a dime.
I hold physical silver (a good bit by most standards) and I hold it as a hedge against the dollar. I won't sell it until we are seeing headlines of all the world's banks refusing to do business in dollar denominated swaps, because the dollar is in hyperinflation. However, I also have a lot of junior mining stocks that are making me happy right now. But this time, I ain't going to be skeert to take money off the table. She has stayed out late too many times for me to believe her anymore.
Happy trading.
But I don't trust it. I am like the guy who married a super hot, amazingly beautiful talented woman and then finds out she has been sleeping around (happened to a friend of mine.... after 30 years of marriage!). You can't trust it. It oughta go up, and you see it screaming skyward (like right now) and you think "NOW is the time to borrow everything I have access to and throw it all onto COMEX futures, and I will retire a gazillionaire"..... but you don't. And you don't because silver is an unfaithful slut. Just when you think the stars have all aligned and the big boys have run out of manipulative gunpowder (they naked short the stuff with paper silver backed by NOTHING, so that if people called for delivery of what they have "sold" them, there are around 30x more silver "sold" than actually exists), the ratios have gotten totally out of hand (the ratio of gold to silver in the "real world" is about 15:1, at which ratio, the price for silver "SHOULD" be about $125 dollars per ounce. Instead, after an amazing run in the past few days, it has gone from 125:1 to 83:1 and is about 22 dollars an ounce.
22 bucks is an AMAZING run. Less than six months ago, we were down around 13 or 14 dollars an ounce. Almost a 100% gain. Confidence in the dollar is collapsing and the Chinese are attempting to engineer the Yuan as an alt currency and EVERY COUNTRY AROUND THE WORLD DESPISES THE STUPID ARROGANCE of the US central bankers and wall street in abusing our privlileges as the world's reserve currency. We are tottering on a mountain of overinflated debt, ruining the very reason the world took the dollar as that currency, stupidly assuming we can continue to coast along while cutting the ground from under our feet, and the world economy is actively harmed... and we are fat dumb and happy, thinking things will go on like this forever....because " 'Murica."
All this and much more point to an impending collapse of the USD, and silver is the PERFECT hedge here, because when gold runs, silver goes into hyperdrive.......... All this I understand. I do. But I am cautious. Because it has been like this for about 40 years (I first started learning about this in the 70s, though I did nothing about it). Silver has tantalized, beckoned, and "come hither"ed so many times and I have thought "THIS IS IT!" ..... and then watched it collapse faster than it went up! lol.
So is the current crazy mess finally "it?" Is silver finally going to $100 or even spectacularly higher, if gold continues to run and goes to 4 or 5 thousand dollars an ounce? One day, it will, of that I’m sure. Maybe that is where it’s going on this move. Silver to $100 will just be another episode in the insane year that is 2020.
But when you play silver, just remember this: it is utterly unreliable. It lies. It ALWAYS lies. It is like your buddy the alcoholic. He has unbelievable potential.... smart, charming, witty, good looking and you think, "this guy/gal should have it all....." if s/he could only kick.... and s/he is sober and clean! They’re off the booze, they tell you; they’ve got their life back on track – they’ve got a fantastic new job, they’ve re-married. Then they show up at your important job function totally sh*t faced, insult your boss, pick a fight with someone, and the next thing you know they’re wandering round the grounds with a plastic bag shouting at trees gathering sticks and weeping about them, or some other incomprehesible and sad actvity.
Silver’s going up. It has further to run.... but today it is down a quarter. It is fickle. Enjoy the ride. When it goes parabolic, I feel like Michael Douglas describing the first big money he ever made, when he said "it is better than sex." Exactly. When this thing rockets there’s no feeling like it, and you think "this is never going to end... YIPPEE!!!!" But I am telling you, they can also stop and reverse on a dime.
I hold physical silver (a good bit by most standards) and I hold it as a hedge against the dollar. I won't sell it until we are seeing headlines of all the world's banks refusing to do business in dollar denominated swaps, because the dollar is in hyperinflation. However, I also have a lot of junior mining stocks that are making me happy right now. But this time, I ain't going to be skeert to take money off the table. She has stayed out late too many times for me to believe her anymore.
Happy trading.
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