We all have been patiently watching and waiting for this trend to end after the Silver drive-by shooting. I believe we are very close to the end of this trend. As you all know I am not a technical trader and put little credence in technical analysis in such a market that is rigged on many levels. Think about it, the physical inventory is manipulated by the paper market trading billions of ounces overnight when most of the world’s market were closed leading to a $6 crash in 15 minutes. On top of that manipulation, we have all of the derivatives that multiply the winnings for those in the know. The markets are then manipulated with rate hikes, margin requirements, and rule changes. Look at the FOREX markets that just outlawed trading precious metals. Then you have the dollar, which is what silver is valued in, that in itself is a lie. Finally, I believe the Elite put most of this technical analysis to get the Pavlovian dog traders/traitors to instinctively react to the signals the Elite put out.
All that being said, it looks like this consolidation trend is coming to an end.
- The debt ceiling will be raised, count on it. (Read: The Contrived Drama of the Debt Ceiling.)
- Trillions in QE3 will come before or after a market panic that will shake the foundation of all paper assets.
- I wrote earlier that the line established around the time I released the Silver Bullet and the Silver Shield looks to be holding. The CRIMEX inventory has been has been going down like the Titanic with physical registered inventory. (See chart below.) With only about 3% of CRIMEX trades actually taking delivery, this inventory could be gone this month with some pressure.
- July, by the way, is a delivery month on the CRIMEX. Options expiry ends June 27th which usually signals a time to release some of the pressure they have put on the market.
- My hope is that the Hong Kong Mercantile Exchange finally announces physical silver contracts very soon.
- Gold looks like it is about to breakout in the dollar and might drag silver up with it.
- The Euro looks like it is going to blow and the dollar is not that much better off. Everyone is talking the PIIGS, but states like California, Illinois, and New York are much worse off.
- As we head into this next crisis I don’t believe that the world is going to rush out of the PM’s like in 2008. I think the hands that own the PM’s in 2011 are much stronger than the hands in 2008. Besides all of the awareness among the American investors, there are huge forces who now know what the Precious Metal suppression means to the Anglo-American Empire of war and debt. (Read: The Rise of the anti-Hegemon, The World is Cornering the Elite, The 3 Demands of Silver.)
The only caveat I see is this July 15th drop dead date on the FOREX trades on PM’s. I do expect the Elite to pull more cards out of it hat and use some of the mythical SLV to back up the CRIMEX. The downside risk is down to $31 at the 200dma which if you are holding physical is no big deal. The upside is $960 Silver… They may try one more drive by, but any short term gains they make in the paper market will be met with long term physical problems as the CRIMEX inventory shows. Long term there is NO winning for the Elite if we stick to our buy physical only strategy. If you trade silver, mining shares or warrants you really need to gut check yourself and decide why you are playing this market. It is my belief that if you have any FRN’s in the market you are in the Elite’s casino and they will never let you out with any significant winning with out changing the rules or manipulating the market. If you have money in IRA, 401ks, savings or any other dollar denominated asset you need to think about getting out while the music is still playing. What are you going to do when we have another panic like in 2008? The worse part this time around, you know better now. ( Read: The Treasury is Coming, Got a 401k or IRA?)
I fully support the Silver Viral Project. This project is a great way to increase the awareness for investing in physical silver. (If only more people put effort into this project than the Ponzi Scheme Bitcoin…) Stop dragging your feet and act as if the is no tomorrow. Beat the rush and panic now. 😉