Silver Will Be The Best Performing Asset Of 2015

Silver has carved out a cyclical bottom formation and appears to in a solid uptrend.  There is massive physical demand supporting this move.  For the last three-plus years, the precious metals market has been in a trading pattern in which you were supposed to sell the rallies.  Now silver – and the rest of the sector – appears to be in a pattern in which all dips should be bought/accumulated.

SLV moved from a $14.66 in early November to $17.61 on Jan. 20, 2015. This is a 20.5% move in a little over 10 weeks.  Stock market heroin addicts would kill for a move like that in that short of a period.  I wrote and article for Seeking Alpha in which I show a great chart of SLV and discuss why I believe that silver will be the best performing asset of 2015.  You can read that article here:   Silver Is The Place To Be In 2015.

The best way to take advantage of the next big bull move in the precious metals sector is to buy the higher quality junior mining stocks that have beaten into oblivious by the 3-year+ sell-off in this sector.   My best pure silver mining stock idea is an emerging producer that began producing silver last year, is free cash flow positive and if profitable down to $12/oz. Every penny of revenue over and above $12 falls straight to the bottom line.

It is also sitting on what appear to be massive silver deposits on property that is close to its existing mining facilities.  It these deposits are what management thinks they are, they’ll be able to produce silver from these surrounding properties using their existing processing infrastructure.  This stock will be home run – you can access research report here:   Junior Silver Producer With Home Run Potential.

This Stock Will Fly

19 thoughts on “Silver Will Be The Best Performing Asset Of 2015

  1. There is just one problem. Manipulation. These markets are rigged…period and silver has been an absolute nightmare of a investment for three plus years now. I will believe it when I see it. Eric Sprott, Ted Butler, Chris Duane, David Morgan……all of them have been wrong time and time again. I don’t want to read about demand or fundamentals….show me higher prices.

  2. There remains the danger that the rules of the game will be changed when we start to win. Declare national emergency, Federally price cap silver as in the Cost of Living Council in the Nixon administration, seize silver as under executive order 6814 on August 9, 1934, based on the former defense silver stockpile is gone, and “the seizure of the wealth necessary”** has again been accomplished by The Pilgrims Society, of which I am the only information source—and have been denied coverage by most sites. I work for free, am trying to protect our property rights, and get scant coverage. Are the sites covering this wrong? They have acted on their own judgement to do so.
    **Review of Reviews, New York, May 1902 page 557

    1. They are already changing the rules of the game. The Constitution has been completely tossed aside. Housing wealth is in the process of being destroyed, with Wall Street and the elitists extracting as much of it as they can – retirement assets will be next – they will also be the last before this country descends into Dante’s Inferno…

    2. If silver or gold become illegal then those items would become scarce for producers and hoarded underground. Not to mention you can smuggle silver out to countries that are more inviting of true wealth. India, China, and the rest of the BRICS would continue to be countries open to Silver. If you want silver to come out then raising the price and purchasing it with worthless paper makes more sense. You catch more files with honey…then other baits.

  3. I think you’ve lost the plot. The direction silver is going is DOWN. Its an investment thats been going down for years and will continue so. It peaked years ago.

      1. Interesting. All the “experts” (lets call them what they really are SCAMMERS) have been predicting $100+ silver for how long now? ALL have been wrong.

        Silver couldn’t even break the $50 mark when it was in a strong bull run.

        I’m sorry but you’re wrong and silver won’t do well this year (or next). Its time is over.

  4. That’s great Davey.

    Now you believe one of the biggest scam banks out there, HSBC?

    Drug money launderers, pm manipulators.

    “…the small but persistent deficit should limit further price declines.”

    HAHAHA!!!

    Yeah, sure.

    Better start selling boys because Da Boyz are gonna slam it!

    1. I know, right?! If a scum-sucking bank like HSBC is forecasting an 11 million ounce deficit, then I’m sure the real deficit will be like 111 million ounces.

      They don’t factor in or mention that 70% of all silver is produced as a by-product of mining base metals. With huge price decline in base metals due to global economic conditions, a lot more than just silver mining capacity will mothballed.

      But I know you knew that already.

    1. I have never looked at it. I see it has ADRs. I’ll take a look. If I end up writing a report on it you’ll get a complimentary copy for showing me the idea.

    2. Petropavlovsk is a very risky investment in the current environment. So I would not recommend it. But the upside potential is huge if the geopolitical situation changes. I’m expecting a worsening geopolitical situation though.

      Good luck with your investments.

      1. “‘IF’ is the middle in ‘LIFE'” – Colonel Kurtz, “Apocalypse Now.” No risk = no return. “Upside potential is huge” because there’s huge risk.

  5. Nice overview Dave on Seeking Alpha. Another recent piece by
    Irfan Chaudhry mirrors your own: http://seekingalpha.com/article/2918006-silver-the-best-precious-metal-investment-for-2015

    I just posted this reply in Seeking Alpha under your article, motivated by some presumptuous comments there:

    The growth of monetary aggregates, better known as unsterilized, unbacked currency injections and interbank loans, by definition underpins the net asset value/intrinsic value of the monetary precious metals by that degree of fiat debasement, which is supported by interest rate derivatives, Libor manipulation, algorithmic frontrunning and coordinated global central bank “competetive currency devaluation”.
    At the same time, the growth in shadow banking derivatives, one form of counterfeiting surpassing $1.5 quadrillion dollars, and other offmarket, unregulated contracts and financial instruments required by law to remain offledger, marked to model, with structured products ranging from mortgage backed securities (MBS), asset backed securities (ABS), and collateralized debt obligations (CDO) to interest rate swaps (IRS), credit default swaps (CDS), currency swaps, options and more.
    There isn’t any slowdown in the rate of global money supply growth, exponentiation and disintermediation. Both reported and indirect, implied silver and gold accumulation by sovereign entities has grown commensurately.
    The costs of official finance malinvestment and missappropriation through their banks and other proxies- brokers, dealers, insurers and funds- are obligatory price and supply distortions as the more obvious market dislocations.
    Silver and gold are honest weights and measures and intrinsic, universal benchmarks against declining worldwide labor participation and quality of life. Derivatives and other forms of inflation, add up to depreciating currency, loss of purchasing power, negative interest rates and failed bond auctions. Neither the Troubled Asset Relief Program (TARP), Zero Interest Rate Policy (ZIRP) or Quantatative Easing (QE) can fail to exacerbate any form of cyberfraud associated with mismanagement and crony deregulation, nor mitigate the malfeascance of overledgering and consolidating toxic assets as top-rated collateral.

  6. Hi Dave,
    your call seems a bit premature here.
    Definetely there are positive signs for silver around; take the up-move on friday afternoon for example.
    But for now Silver has put in three lower highs in a row; in euro terms the trend is flat. The price in Shanghai is slightly higher but not enough to change the trend.

    London Fix / Premium to Shanghai SGE London Fix/Euro
    02/24/14 rally top 22.1$ / 0.4$ / 16.1 Eu
    07/10/14 rally top 21.5$ / 0.19$ / 15.8 Eu
    01/23/15 rally top 18.24$ / 0.89$ / 16.3 Eu

    The last two lows in silver were
    05/01/14 19.1 $ / premium / 0.94$ / 13.7 eu with Ag 99.99 trading at 0.7% premium
    11/06/14 15.3 $ / premium 1.2$ / 12.2 eu with Ag 99.99 trading at 3.3% premium

    That is a series of lower lows and lower highs in silver; the only good news is that gold does not confirm the downtrend here.
    In Dow Theory terms this is a non-confirmation that could hint at a trend change but for a definite bottom more confirmartion is needed.
    In other words, the shorts are still in control and your call is too early here.if you look an import numbers to India and premiums in Shanghai.
    Even the physical market seems to get the metal from somewhere as the import numbers to India and the premium in Shanghai are not that high.
    Gunther

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