Re: Hmmm, silver up $.35 to $13.25 in first hour tonight
posted on
Apr 26, 2009 06:47PM
I am guessing some of the extra interest in silver is due to the bullish COT report that shows the commercial shorts have covered a big chunk of the outstanding interest and begun to go long. This is an indication that the liquidation is about done for now and perhaps we are due for a sharp rally. Also since it seems many people have decided the bottom is in for the overall economy, perhaps the demand will pick up for silver going forward since its largely perceived as an industrial metal. My personal view is that we are a long way from the bottom and I am currently short the financials, expecting a new bear market low will be reached by the fall. However I am bullish as hell on silver because the metal will be in high demand as a monetary investment to offset the inflationary presures of all the new money printing going on. Silver has been stupid cheap for too long, in part due to the market manipulation of the big shorts on the COMEX, but I am still confident that the real metal will breakout of the paper derivitive lockdown in time.
cheers!
mike