Warning Fools! Silver Will Fall by 66%

[Michael P]

I heard there was a big 15% off Silver sale going on...

 

[bobbyw24]

And Now For Today's Mini Silver Flash Crash: Same Time, Same Place

Just like yesterday and the day before, 6:30pm is now the official precious metal "bang the afterhours" launch time. As we predicted minutes ago, silver just got taken to the cleaners on what is now an apparent attempt to push silver around in the no volume part of after hours trading, in the 6-7 pm no man's land.

More:

http://www.zerohedge.com/article/and-now-todays-mini-silver-flash-crash-same-time-same-place

 

[rp4prez]

I like the trend... means I can buy more for my monthly purchase!

 

[qh4dotcom]

$39.62 now...silver has fallen $3 today

 

[Jandrsn21]

In that question, the author announces his complete ignorance of the issue. It's not that metals are "accreting value". It's that the measuring stick you are using to measure value is changing. The author has a fundamental misunderstanding of what money is and a complete lack of historical perspective on the "great" Keynesian experiment that's in it's dying days. Everyone loves the returns on a Ponzi scheme until it collapses.

Well said! Only fools here are the ones still holding on to dollars.

 

[bobbyw24]

$39.62 now...silver has fallen $3 today

Excellent. Sell and take profits

 

[Brown Sapper]

Let it go down to $8/oz I'll start buying bricks

 

[cubical]

Let it go down to $8/oz I'll start buying bricks

haha I wish.

Gold is still above 1500. This should show that if you are wanting to get into gold/silver, that you need to look at the charts. Silver might be a good buy here, but if it went down to 30 I wouldn't be shocked. It went from 20 to 50 in 7 months, back to 30 wouldn't be too strange. Gold on the other hand has slowly been moving higher and higher and now with the big sell off it is still above 1500, only 5% or so off highs. Whereas silver is 20% off highs.

We know the future value of these metals is much higher, so why not buy the one that isn't extended.

 

[Icymudpuppy]

The value of a commodity is based on mutual voluntary exchange...

HR “I might think that I hold Taggart Transcontinental in my power.”
DT“You know that, anyway.”
HR“I do. And I intend to make you pay for it.”
DT“I expect to. How much?”
HR“Twenty dollars extra per ton on the balance of the order delivered after today.”
DT“Pretty steep, Hank. Is that the best price you can give me?”
HR“No. But that’s the one I’m going to get. I could ask twice that and you’d pay it.”
DT“Yes, I would. And you could. But you won’t.”
HR“Why won’t I?”
DT“Because you need to have the Rio Norte Line built. It’s your first showcase for Rearden Metal.”
HR (chuckling)“That’s right. I like to deal with somebody who has no illusions about getting favors.”
DT“Do you know what made me feel relieved, when you decided to take advantage of it? … That I was dealing, for once, with somebody who doesn’t pretend to give favors.”

 

[qh4dotcom]

$39.32 now

 

[KevinR]

Let it fall, then we can get rid of FRNs at a better rate

 

[Brian4Liberty]

So where's the bottom going to be?

IMHO, worst case scenario (total crash) takes us down to a minimum of $20/oz. Barring a total crash scenario, and looking at a typical draw-back, maybe $30 will be the bottom?

What do the technical gurus think?

 

[Seraphim]

The prior bottom was at 27$. 27 to 49 = 22$ increase. It will probably retract back about half of that (down to 38$ or so).

Technicals can only go so far however - the marketplace is so incredibly messed up right now that anything can happen - it could be a shit storm back to 30$ or we could see massive support push prices back up in a hurry.

I tend to think the latter is more likely.

I am inclined to think in USD the price will soon start to level...I do think the 38$ area is a solid target as a bottom.

36.50$ or so in CAD.

Once the new bottom is established, prices consolidate and prices start to move up again - look out, the next move up is going to be huge.

I would not be surprised to see **HOLDS BREATH** triple digit silver by the end of 2011. 70$ should be a breeze. This, of course, is dependent on relatively similar monetary policies and fiscal policies.

 

[Brian4Liberty]

Went back in the thread for some predictions...

Some are thinking $27-$33 range.

I have 33$ pegged as the LOWEST it will go.

I am inclined to think the brutal drop will be met with rebellious support.

In USD, I think it will begin to hit A LOT of support at worst around 37$.

The long term fundemental bulls will stop the bleeding once they start seeing spot prices beginning with the number 3.

I'm kind of convinced they're trying to push it to mid 30s for the summer... I don't mind too much. Most of my silver is from the mid 20s and ~10 oz from 35-40.

It's a buying opportunity. And hopefully it really is and they're not just trying to shake out some people.

So where's the bottom going to be?

IMHO, worst case scenario (total crash) takes us down to a minimum of $20/oz. Barring a total crash scenario, and looking at a typical draw-back, maybe $30 will be the bottom?

What do the technical gurus think?

 

[Seraphim]

Also, once the support is established and prices start moving up again - woe is me if I start hearing SILVER IS IN A BUBBLE once prices hit 45$ again.

Silver won't be in a bubble - or even close to it...until you see the currency/debt issues resolved or even STABILIZED.

Over the next decade, HEALTHY currencies such as the CAD and AUD will likely see 300$ silver as a "normal". I.e prices will go MUCH higher than that, and then correct from the ACTUAL bubble price.

Ladies and gents - the debt/currency bubble has gone parabolic - it WILL collapse and when it does the nominal funny money valuations on ALL commodities will go insane.

 

[swissaustrian]

This, of course, is dependent on relatively similar monetary policies and fiscal policies.

Is´nt it frustrating that investing turned basicly into betting on decisions of central planners?
I would love to invest according to fundamentals and pick stocks. Now i have to put my main focus on what some corrupt freaks decide to be the "right" economic policy. I hate it, although i make some money from it. Morally it´s ashaming to me.

 

[Seraphim]

I hear ya.

I'd rather be invested in dividend paying companies and have our currencies be market oriented (which would mean my silver would be less of an investment and just MONEY) free from central planning printing presses.

Alas, that is not the case. Thus, I view precious metals, energy and real estate to be the best investments.

Is´nt it frustrating that investing turned basicly into betting on decisions of central planners?
I would love to invest according to fundamentals and pick stocks. Now i have to put my main focus on what some corrupt freaks decide to be the "right" economic policy. I hate it, although i make some money from it. Morally it´s ashaming to me.

 

[Brian4Liberty]

So where's the bottom going to be?

IMHO, worst case scenario (total crash) takes us down to a minimum of $20/oz.

By total crash, I mean if there is another stock market crash. Unfortunately that will also take metals down to a certain extent because people will need real money, and will be selling some of their winners to cover loses.

 

[pmbug]

So where's the bottom going to be? ...

Hard to predict anything when they keep changing the rules. Margins hiked today (again!) for the 4th time in the last 8 days - this time by another 17%! The COMEX must really be in deep doodoo.

 

[Seraphim]

20$ silver due to a MARKET WIDE crash would still represent a 150% increase in price from the last crash bottom - VERY BULLISH.

By total crash, I mean if there is another stock market crash. Unfortunately that will also take metals down to a certain extent because people will need real money, and will be selling some of their winners to cover loses.