A Slow Recovery
I had a major accident and am recovering from it slowly. I plan to start covering the markets again so get ready to make major profits selling gold, buying silver, and buying the secret coins from the mint the Gov't wishes they could keep but can't!
A special thanks to Dr. Donald D Fuchyoughovher who I feel I will never be able to repay.
GR
Buy NOW!!
Keep buying silver, gold and oil, get ready to buy back our porr dollar in 2 weeks, sell the yen this wednesday, buy aluminum thursday, and sell copper on friday.
GR.
Time to sell the silver market!
It’s the mantra of traders the world over who want to buy into a strong bull market: “Wait for a pullback.” Newsletters wishing to follow the trend but avoid improper timing favor the tried and true “Buy the breaks.”
Note to all those who were patiently awaiting a break in Silver: It’s here. The market has officially “broke.” Does anybody still want to buy? This is the problem with buying the breaks. Those waiting for a pullback to buy often have second thoughts by the time the pullback comes. For a pullback brings with it a whole new set of questions: How long will the correction last? Is the trend reversing?
This is part of what makes futures trading so tough. It’s also one of the primary reasons we recommend option selling as a base strategy for trading these markets. Granted, option selling involves risk just like any other strategy. But by selling options, one can often avoid being stopped out by the short term swings that give futures traders heartburn.
The magnitude of the recent break is enough to give almost any futures trader pause. Selling puts far beneath the current market, however, could be a good way for more cautious traders to take advantage of the silver correction while placing his position at a comfortable distance from any additional turbulence.
There is no way of telling if silver is finished moving down or gearing up for the next leg higher. What is certain is that volatility is extremely high and any investors interested in option selling should be sitting up and taking notice. This type of volatility often creates exceptional opportunities for selling premium far above and/or below the market.
Despite the recent pullback, our bias to silver remains bullish. The same fundamental factors that have driven the bull trend in silver are still in place and look to be for the foreseeable future. Granted, the buying got ahead of itself last week. But that is no reason to believe the trend in silver will shift lower over the longer term.
Total supply of silver is expected to rise to 814 million ounces in 2006, up from 790 million ounces last year. However, overall demand is expected to rise as well, which could negate gains on the supply side.
Silver has benefited in that it can be utilized as both an industrial metal, like copper, and a precious metal, like gold. Therefore, as copper prices have spiked due to unprecedented demand from growth in the Pacific Rim, so have prices of silver. The rally in silver and copper does have a fundamental base, and that base is actual physical buying from new consumers in China and India. But gold prices have also spiked, albeit for somewhat different reasons. As several global geo-political situations worsen (Iraq, Iran, Inflation, Oil Prices), investors have instituted a “flight to quality” approach and are investing heavily in gold. As silver doubles as a financial metal, it has benefited from this buying as well. The recent interest in precious metals, silver in particular, is underscored by Barclay’s recent filing to launch a silver exchange traded fund (ETF) in the US. This is expected to take a large chunk of silver off the market which would reduce supply of the metal even further. Barclay’s indicates that it has already deposited 1.5 million ounces of silver to secure the fund.
The specter of supply disruption looms as well. The recent spike in silver prices opens the possibility of labor disruptions at mining companies. This type of scenario is currently playing out in the copper industry and it is not a stretch to foresee the same thing happening soon in silver. Increased profits at mining companies can bring disputes between labor and management as to how and if those profits should “trickle down” to employees.
The fact that the volatility in the silver market has been extreme over the last few weeks may be intimidating to futures traders but should be a boon to option sellers. Before last week’s sharp correction, the net speculator long position in silver was at 97,635 contracts, an all time record. With this many speculators long the market, things are bound to get volatile. When COMEX announced it would raise margins for gold and silver contracts last week, many small speculators decided it was a good time to take profits. The selling fed on itself producing the sharp pullback.
The market has since recovered some of those losses and where it goes from here is uncertain. What the selling did, however, was eliminate some of the “weak” longs in silver which could put the market on more solid footing moving forward.
We do not recommend trying to guess where or how far this market will move. What we do recommend is trading this market based on where it should not move. That means selecting price levels far beneath the market and selling puts at those levels.
What we have is a still solid uptrend in a market with very positive fundamentals. While silver prices promise to be volatile, it is our opinion that prices reversing trend and beginning a sustained downtrend are minimal for the foreseeable future.
Author GR.....
BUY GOLD NOW
GOLD can now easily climb to 725 dollars an ounce within the next 2 weeks. The reaseon for this are to numerous to mention. It will happen over night like a rocket. Don't speculate, buy while the profit can be made. slow obedience is disobedience.
Author-GR.
Silver still to reach $15.00
Perhaps
I was off a few cents on my $15.00 an ounce silver call by the end of the month but I wouldn't throw in the towel just yet. Theres still a lot to happen this week. Either way anyone following my pattern should have made a bundle (some of you should have been able to retire and the rest of you shouldn't have to worry about money for a long time.
Today:
Silver open - high of 13.55
GOLD open - low of 618-high 640.
Author GR.
Now is anyone still happy?
No Post this morning, first time in a long time. I figured the market would correct itself. I hope every one who subscribes to daily, weekly, and monthly, not to mention yearly, so-called market guru magizines warned all of you that when prices surge for 3-4 days they usually come right back down...HARD. (Pun intended).
People who bought $15.oo physical silver are safe. Don't worry you'll do just fine in the long run. Make sure you take delivery as soon as possible. Anyone calling for silver to go higher today was a bigtime loser. Same for gold.
I hope all of you gold hoarders sold at 650-660 cause you won't see that price again for over a year. -Unless minimum wage goes to $10.00 an hour. I have a better chance of striking oil in my back yard.
Platinum will slowly find its downside also. A precious metal, almost alittle 2 precious. Who really wants it so bad they will pay more than 1200 an ounce for it?
PLDM is a potential gainer. Probably 450 an ounce by dec.
I wouldn't say its impossible for silver to drop to 8.50 an ounce. I would be surprised but it could happen. If it does, buy like crazy!!!
Choppy markets for the next 2 weeks silver between 10-12.00 GOLD runs 500-575.
Author-gr.
Gold and Silver on Fire.
As our dollar is slowly collapsing and more and more Americans daily "In God do Not Trust"
The price of the only real form of true money which will someday soon exist continues to gain value in all forms of currency.
So many are under the impression its the dollar which gets weak that drives the price of metal up or a supply/demand issue. Its really not. Its just the fact that some day all paper currency will be worthless and it will be some type of coin made of some type of precious metal which will be used for exchange. It may well be 200 years down the road but I beleive it could happen in as little as 30.
I'll play live today and call Gold wherever it opens and aim for 635.I'm still in overnight with silver so i'll let it go to 14.60-70. today.I'm SURE YOU ALL RECALL I STATED $15.00 SILVER BEFORE THE END OF THE MONTH!NOW I'M claiming $75.00/oz by CHRISTMAS! PLACE YOUR BETS>>>AUTHOR - GR.
Gold Prices Soar!
We knew it was coming, we just didn't know when. Gold has finally broke the $615/oz barrier and continues to climb. The "all-or-nothing" investors who usually leave the markets in time-in tears, are still riding the lightning.
Did anyone notice the silly article posted on google the other day about how gold sellers out numbered gold buyers? I won't mention the authors name to save him embarrasment but I think he should do his homework if he's going to make statements like that. ESCPECIALLY if he wants people to read his blog more than once.
Silver also continues to move up the chart at an astounding rate -as I mentioned earlier when it was @ 12.00 .50 doesen't make much difference one way or the other for this metal- its bound for the big time.
For today I'll put SILVER between 13.35 - 13.70.
GOLD 610 -620.
Author--gr.
Sorry I have to hold off on the free daily spot quotes for awhile. Other businesses give spread advice that isn't even close and charge millions annually for it. I figure Since I'm one of the best there is I should either be paid or just invest for myself. No one even writes to thank me for all the money they have made. I'll be making plenty today, tomorrow, and the rest of my life. Everyoneelse can write me or rely on luck and guessing, good luck.
