Silver Is At A Critical Point Based On US Dollar Action
A breakdown of the US dollar would be a great confirmation of a sustained silver rally
A breakdown of the US dollar would be a great confirmation of a sustained silver rally
So, for the Silver investor, what the US Dollar index might do over the coming years, is a very important question to answer.
Silver is running out of time and space (on the chart) to decide where it will go over the next months and years.
However, as explained above, it is likely that we could end up having a more concentrated occurrence of events that are silver price positive, if the stock market peak this year (which might have happened already), and we also have a major US dollar collapse this year or next year.
Silver Price Forecast 2017/2016 The silver price and the US Dollar/South African Rand exchange rate (USD/ZAR) have a very interesting relationship that goes back a long way. Basically, in the long run, the two move in opposite directions. When the USD/ZAR rate is moving up, then the silver price is moving down, and vice versa. Furthermore,…
Silver Price Forecast 2017 / 2016 Historically, the silver price has a tendency to decline and rise way more and faster than most people expect. The recent 5-year decline is a good example of a decline that went lower than expected. There are good reasons for this, but we often miss it due to our…
Given the above, its natural that the Dow/Silver ratio is also an important indicator for future silver prices.
Previously, I have shown how the structure of the 70s silver bull market is similar to the current one. This similarity is also true for interest rates. This makes sense, given the fact that silver and interest rates move together in the long run. Below, I have done fractal analysis of the 10-year US Treasury…
The context of this silver bull market and the massive debt levels today, suggest that silver will go much higher.
Sometime during the Dow’s next leg down, there is likely to be a significant silver rally, which would take silver higher than the April 2011 high.
If you look at monetary history, then you will find that we have moved from periods where mostly real or tangible assets like gold and silver acted as monetary claims on goods and services in the economy, to today where mostly credit or debt claims (fiat currencies like the US dollar) act as monetary claims on goods and services. Therefore, we have moved from a real asset-based monetary system to a debt-based monetary system.
Silver Price Forecast: Silver Prices Rise Dramatically At The End – Are We Close To The End? Silver or the silver price is generally much more difficult to analyze than gold. Part of the reason is that so much less is known about the specifics of the silver market. Silver analysis is often done “through”…
Silver and Gold Price Forecast 2013 Gold and Silver Rally Relative to the Dow Since the last update, the Dow has had a rally which exceeded the previous all-time high. The rally appears to be nothing significant, since it was likely just a retest of the previous breakdown – See the Dow -chart below (from…
Silver Price Forecast: The Greatest Silver Chart Of All-Time – not my title, but a reader who asked me to update my long-term silver chart
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Warm regards and God bless,
Hubert
(gold and silver newsletter)
Find me also at: picturegoldandsilver – gold and silver analysis contained in one image/picture
hubert@hgmandassociates.co.za
“And it shall come to pass, that whosoever shall call on the name of the Lord shall be saved”
Silver price Forecast: Dramatic Turnaround For Silver? 18 May 2012 Here are a few patterns that might explain the current state of the silver price, as well as, provide the possible way forward. Below is a 6-year chart of silver (all charts generated at fxstreet.com): On the chart, I have indicated two similar patterns (marked…
Silver Price Forecast: The debt-based monetary system creates an illusion of wealth. It allows for claims on real goods to significantly exceed the actual amount of real goods. You then have a number of people believing they have wealth, since they have claims (pieces of paper or tokens) showing that they have these real assets,…