Friday, June 22, 2012
Highly manipulated and highly volatile silver is down to a level that will either mark a bottom from which it should rally much higher or if it breaks down below the $26.00 per ounce area, it may fall rapidly to $20 per ounce. If it were to fall as low as $20.00 U.S. per ounce, this would be the buying opportunity of a lifetime. Take a look at the weekly chart and you can see exactly where we currently stand. Silver is an excellent form of wealth protection as it is a monetary metal as well as an industrial metal. Unfortunately, the silver market is not a free market per se, as its prices are set via the Comex exchange which in some circles is referred to as the Crimex. Silver prices are manipulated via the "paper silver" market and these paper silver prices are easy for the big short sellers of silver to manipulate. If you plan to purchase silver as an inflation hedge or store of wealth, the best way to do it is to buy and hold physical silver. If you buy an ETF such as SLV, there may come a day when you discover the silver you thought you owned has really been rehypothecated to a bank such as JP Morgan Chase. Only real, tangible, physical silver in your own possesion is safe from the fraudulent paper games being played on wall street. If you wish to purchase physical silver there are many companies that specialize in silver and gold bullion sales. One such company is US Money Reserve. One more thing to remember about owning silver. Silver is extremely volatile in price movements. It can move up in price with astounding speed but it can also move down in price even faster. I consider silver to be a long term investment with extremely high upside potential once the paper manipulation ends and the physical market asserts control over the price. I am not an investment advisor. Do your own due dillegence before investing in precious metals, silver, gold, or any other investment. Remember, it is your money.