What Happens To Gold And Silver Next? Look Out Below?

Who knows anymore. Not much rhyme or reason it seems.

I night add, one does not need a narrative as to why something happens. The markets revolve around price, patterns repeat. We got clues last Monday when gold and silver were putting in successive lower highs and lower lows.

Really, its simple, if you just pay attention to price you can know whats happening.

ok just a quick up date here....

CONSTANT fading of bounces. This is very TYPICAL and CLASSICAL of an asset in a downtrend. Both silver and gold cant even hold on to their bounces.

This price action eventually leads to lower prices.

Also, look how nasty silver trades. It lagged on the way up with its retracement from weeks ago and now is the one falling hardest.

For this reason, investing in silver in this particular time period would be disastrous and a great way to lose your money. Do not make major purchases in silver at this time, its not wise.

I'm glad this thread is still so active and informative. There used to be so many other active members on this site and many more threads. Oi wish some members were still active.

My remaining amortization is only 20 years (not 200)!

I'd be scare if silver was $500 oz., imagine bread costing over $50, gallon of milk at $150.

When silver is under $20 and the LCS owner gets infected with a truth-telling serum:

"My silver is hiding in the back room and up on Craigslist ads at one dollar more than I spent on it. I am sure some sucker will buy at this premium because the coins are shiny and stir emotion. I just can not afford a loss (but the old lady I ripped off can)."

Wow ugly price action again. Gold and silver continue to make a series of lower highs and lower lows. Essentially, price is telling us the downtrend is still active and to expect even lower prices. Gains are being erased fast. This is why I said, trends do not disappear over night. This is a time and process. Dont think that the downtrend just comes and goes.

more later.

Now to address some comments and make corrections-

1- Please be aware that the term "day trader" is an old term, incorrect, and mainly used by the financial media which is always wrong and late. The correct term is intra-day traders. These are traders who are trading on 5 minute charts as an example. These traders are clearing 500K - 1 million or more a day. Again, the term "day trader" is old, not correct and is not what is current.

2- Good job Allspice in unloading some gold into the rally the PMs had. That was one way to benefit from the rise if one was not trading the metals. Sadly, I feel a lot of people got a false sense of security in the rise. A lot of people will have regrets and ask themselves, "why didnt I sell when I had a chance?"

3- The gold/silver ratio is a waste of time. Throw that out the window. One does NOT buy a declining asset. It does not work out. I dont care if someone says "I am holding for 50 years". Chances are high you will NOT have the liberty to let the money run that long and even if you do, I'd take the stance that putting money into a declining commodity right now, which means your initials investment starts underwater, will stay underwater.


The whole purpose of this thread I started is to be a guide as to where prices are going. There will be a time to buy gold and silver for investment. These daily price movements are giving clues and are painting an overall picture. Disregarding what happens each day and not putting it into proper context is a big mistake if you want to invest in commodities such as gold and silver.