Is Silver Getting Ready To Make A Big Move?

Everyone in the precious metals community is scratching their heads over the recent behavior of the price of silver.   At the end of the day, the severely depressed price level can only be attributed to the extreme degree of manipulation and price containment activities of the Federal Reserve and the U.S. Treasury’s Exchange Stabilization Fund team (which is officed in the same building as the NY Fed).

Besides containing the upward price movement of gold and silver in order to support its effort to prop up the dying U.S. dollar, the question is, why is silver being hammered like this with Comex futures?   Ultimately, I believe a severe shortage of unencumbered physical bars for delivery into India and Asia has developed.  More on this in the next few days.   In the meantime, you can see from the 20-yr graph of silver that silver is, by far, more oversold than at any time in the last 20 years:

(click on graph to enlarge)
monthlysilver

9 thoughts on “Is Silver Getting Ready To Make A Big Move?

  1. Simply amazing. Just total collapse from its high from the chart and MACD is more oversold than last 20 yrs! May be it is stabilized from here.

  2. Some nice technical analysis this morning on Slope of Hope

    http://slopeofhope.com/2014/05/panning-for-gold.html

    I’ve been watching the 3-year falling triangle pattern in silver very closely (3rd chart in the above link). Silver is starting to get boxed in pretty tightly now. My money is on a break up out of the pattern. TF Metals Report has been following this chart setup as well

  3. Here’s why this won’t happen.

    the only reason that india supposedly may 25 will elect a new PM who will repeal the import taxes, which were put on in early october 2012 on a special visit by geithner for that purpose, is to once again make gold imports tax-free, which will thus alleviate the buying pressure for silver there.

    indians will also then actively sell some of their silver to buy gold, which they greatly prefer because let’s face it, a silver necklace isn’t worth much compared to the same weight gold.

    voila!
    Close Operation Flim; open Operation Flam.

    so if anything, there will be a silver price collapse short-term at least before any rise. on a monthly chart, it can be a long wait.

    only thing that could prevent this silver collapse might be if the indians actually make the imported silver (bars) into jewelery/dowerage, but why bother with labor hours fixed & making it out of something worth only 1/65 per ounce?

    it’s all planned & these bankster swine are squealing in glee running circles around & showing the “names” in this puny sector as the overpaid overhyped know- nothing shallow thinking howling fools & ignoramouses they are.

  4. On December 9 2010 during a speech, former cftc Commissioner Bart Chilton said : “Even earlier this year, one trader held roughly 40 percent of the silver market.”

    http://www.cftc.gov/PressRoom/SpeechesTestimony/opachilton-35

    An investigation was done during 3 years and on September 25 2013 they closed the case and said : ” Based upon the law and evidence as they exist at this time, there is not a viable basis to bring an enforcement action with respect to any firm or its employees related to our investigation of silver markets.”

    “The Division of Enforcement’s investigation utilized more than seven thousand enforcement staff hours.”

    http://www.cftc.gov/PressRoom/PressReleases/pr6709-13

    They are either incompetent or dishonest.

    “Two things are infinite: the universe and human stupidity; and I’m not sure about the universe.” Albert Einstein

  5. Dave,
    Remember what I told you Keith Neumeyer CEO of First Majestic Silver said in an interview about how a large factory in China had trouble sourcing physical silver for weeks and had to temporarily shut down months ago? Maybe someone should interview Keith and ask him to expand on this…

  6. Quiet revolution of the emerging countries

    As the Ukraine crisis heightens, the so-called BRICS countries – Brazil, Russia, India, China and South Africa – are becoming less willing to accept US world supremacy.

    http://www.dw.de/quiet-revolution-of-the-emerging-countries/a-17615162

    Russian energy to power Chinese factory

    Geopolitics is changing fast, and the Ukrainian crisis has pushed Russia closer to its eastern neighbors. With the West continuing to impose sanctions against Russia, Moscow’s shift to its BRICS partners, in particular China, seems quite logical. As for China, it is unhappy with the US cherished policy called “Asia pivot” aimed at counterbalancing Beijing and limiting its influence in the Asia-Pacific region. Therefore, in terms of changing the world balance countries are trying to find the strongest partners to ally with, and Russia is one of the most desirable partners that China can have.

    US-Russia relations have transformed from sour to toxic, but EU-Russia relations are not that bad, even though EU sanctions and demonization of Russia do indeed harm both economies. Contracts are frozen, bilateral cooperation is suspended, and European countries are desperately searching for gas supplies, anxious to decrease their dependency on Russia, leaving Russia with some “spare” resources to trade.

    http://rt.com/op-edge/157400-russia-china-deepening-cooperation-ukraine/

    China-Russia discussing currency swaps package
    May 9, 2014

    Top officials from China and Russia met on Thursday in Beijing to prepare for Russian President Vladimir Putin’s strategic trip to Shanghai next week even as the European Union prepares to initiate a fresh round of sanctions against Moscow.

    Chinese Vice Premier Zhang Gaoli held preparatory talks with his Russian counterpart Igor Shuvalov in the Great Hall of the People in Beijing.

    Zhang told Shuvalov that China would stress on increasing the already vibrant bilateral investment between the two nations. China is Russia’s fourth largest source of foreign direct investment.

    http://thebricspost.com/china-russia-discussing-currency-swaps-package/

    International Policy that goes against the US influence and power will play a role in Gold and Silver’s Future.

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