Silver

If you have not grasped the reality of what is likely to unfold over the next 6 to 12+ months in the global markets and that precious metals are the setup of the decade, then pay attention to the fact that gold and silver are poised for moves ranging from 40% to 240% over the next 12+ months depending on the scale and scope of this move...

I am convinced that silver will soon explode in price in a manner of unprecedented proportions, both in terms of previous silver rallies and relative to all other commodities. By unprecedented, I mean that the price of silver will move suddenly and shockingly higher in a manner never witnessed previously, including the great price run ups in 1980 and 2011. The highest prior price level of $50 will quickly be exceeded.

Once again, people are giving voice to expectations of silver suddenly rocketing much higher - but why? Even after its recent price rebound, silver is 65% cheaper than it was 8 years ago.

If you are buying silver because you expect a recession will take its price higher, you are skating on thin ice. The expectation is fundamentally flawed and there is nothing historically to support the expectation for higher silver prices during recessions.

Today’s infographic comes to us from Endeavour Silver, and it outlines some key indicators that precede a coming gold-silver cycle in which exposure to hard assets may help to protect wealth.

What should prices be for silver in 5 years? Check out my model. Its correlation since 1971 is 0.91 with an R-Squared value of 0.83.

If you hold silver today, or if you intend to buy, you are now looking at one of those times in history when an investment is likely to make spectacular gains for an extended period of several years. 

Precious metals are looking like a great alternative these days given all the uncertainty - trade war, high corporate debt, high federal debt, possible negative interest rates, etc. - that exist in the economic environment out there. This article analyzes which metals to choose. The typical choices are gold, silver, and platinum.

The silver market is only 1/10th the size of the gold market so it’s prone to crisis-driven upside explosions as money floods into it during periods of high inflation and, today, the stage is set for an explosion in inflation. I expect it to kick off a crisis-driven mania into silver like what happened in 1980 and, adjusted for today’s prices, that means silver soaring above $160 a [troy] ounce.

I know you are tired of me saying, “big patterns lead to big moves” but the charts to follow will show you exactly what I mean by that statement.