Wednesday, May 4, 2011

Silver Correction Time

Gold in New Zealand dollars: $1923.373 per oz
Previous all time high: $1955.10 per oz

Silver in New Zealand dollars: $51.59 per oz
Previous all time high: $48.58
per oz


Silver is undergoing a bit of correction over the last two days. The percentages (10-11% down) are quite significant.

But silver is always the petulant teenager as compared to the adult gold. The swings will be more wild as leveraged longs get flushed out (and many other reasons)

I point today to a very good commentary on what is happening in silver.

As Jim Rickards recently said, it's never black and white in these markets. Some say it's all because of manipulation or Fed printing, but there are so many factors out there to keep in mind. One being this is hardly a normal market. To trade this thing needs far more experience than I have right now.

In my mind, having the physical has got to be a winner as these paper wars get played out.
_____________________________________________________________________

Articles of interest:


The dollar decline, gold price, phony stats and the wild ride ahead

See article here
Mineweb.com
 

Sticker Shock

See article here
newsweek.com
______________________________________________________________________

No comments:

Post a Comment