Are We Staring Down A Silver Price of $15? [If So, Lock & Load!]

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[Ed. Note: If you want a great deal on PHYSICAL SILVER, click HERE.]
from Silver Doctors:

“If anything comes out of left field, a quick repricing in the metals could follow”

The silver price has closed up on 8 of the last 10 days. This comes as not much surprise at is has been a difficult couple of months for the white metal. This coming week, however, will be a test in price action that could have significant consequences. As we have noted on the daily chart before, silver seems to be stuck in downward channel, and while bullish in the long run, we are now at a make-it or break-it point where we will either punch through the channel resistance, or we are on the cusp of another downleg. If the movement reflects the latter, could we be staring down $15? There has been very little riding of either the high or low trendlines of this channel, with the exception of just a few days riding to the high side in early June, so we’ll know soon enough if there is a break-out.

A close on the daily above $16.85 could be the start to a run of higher highs, and technical traders might become bullish at that point, though there is no denying that decisions will need to be sharp with little hesitation once price points are triggered. That is to say, there has been no consolidation on the charts so far throughout 2017. A case could be made for sideways trading in the $16 to $17 range, and as we start the last full trading week of July, sure enough we are right in the middle of that range. We will know soon enough.

Metals Price Chart

(Chart generated using ThinkorSwim)

In addition to a major test to break through the resistance trendline, the continued divergence between gold and silver is worth mentioning. On the chart above, price action in gold is represented by the purple line. Yes, the metals move together, and while trading tightly on the daily in the early part of the year, since early April, a notable divergence has developed. Will silver catch up to gold, or is gold about to see movement to the downside? Swings in price have been significant lately, especially as seen in the Thursday night flash-crash in silver, so it is too early to tell, though the near perfect painting of the chart could cause quite the surprise just when everything seems so complacent.

This week is also FOMC week, though there is no press conference afterwards. The market sure does seem sure that the Fed will hold rates at the current range of 1.00 to 1.25. Note the near perfect certainty as shown by the CME Group.

Inflation Target Chart

If anything comes out of left field, a quick repricing in the metals could follow, especially if there is further downward pressure on the dollar. The dollar is starting the week trying to hold at 94, and it could be an uphill struggle all week long. If the Fed appears bullish, the dollar could consolidate here, but holding steady on rates and further dovishness signaled would continue pressure on the dollar. That might, however, be just the catalyst needed for the metals.

On Friday, we also get the first estimate for second quarter GDP. The Atlanta Fed GDPNow began the second quarter forecast over 4{5f621241b214ad2ec6cd4f506191303eb2f57539ef282de243c880c2b328a528}, though since last week the forecast is calling for 2.5{5f621241b214ad2ec6cd4f506191303eb2f57539ef282de243c880c2b328a528} growth on the quarter.

GDP Now Chart

One trend that seems to be forming is that the Fed seems to be steadily lowering growth expectations.

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44 COMMENTS

  1. Disclaimer – I own both G&S. Owned BTC until we sold to pay off some real estate. Don’t currently though watch is closely. Hoping for a major pullback, real major, like under 1K.
    However, once TPTB draw down the price of silver to $15.00 and gold to $800.00 AND they own 99{5f621241b214ad2ec6cd4f506191303eb2f57539ef282de243c880c2b328a528} of the world supply (they are hoarding like there is no tomorrow) what is to stop them basically de-monitizing it. Making it worthless to the likes of us as they own all of it? How will benefit from holding?

    That is one way to keep everyone in the slave system, remember they want us all on the slave digital system. VISA announcement to restaurants that they will pay $10K to go completely cashless is alarming. Once cash is a relic, they move to de-monitize precious. That is the biggest fear. AND since BTC is owned primarily by a small group they can manipulate it any way they want too.

    We is fucked! No?

    • To answer yes , the majority – naturally when you live in a society that was created by the rejection of God . For insight of future world & US events may I suggest reading The Siege and Destruction of Jerusalem , According to Josephus , 70ad – You might find interesting the section that Josephus describes the fate of inhabitants that the Romans had perceived to have swallowed there coins – quite telling . -on the way of the cross our Lord turned to a group of blacked hearted hypocrites and scolded — But Jesus turning to them, said: Daughters of Jerusalem, weep not over me; but weep for yourselves, and for your children.”[Luke 23:28]

      • I would like to add – St Luke wrote his gospel twenty four years after our Lord’s Ascension . The destruction of Jerusalem commenced seventy years TO THE DAY our Lord spoke of his just wrath to come upon them for the incomprehensible evil sin of Deicide . I will leave this contemplation with you ; Sins Crying To Heaven For Vengeance , ( subjectively or objectively ) Willful murder – The Sin of Sodom – Oppression of the poor – Defrauding laborers of the wages – Nine ways of being accessory to another’s sin , by counsel , by command , by consent , by provocation , by praise or flattery , by concealment , by partaking , by silence , by defense of the ill done .

    • TPTB (whoever that is) don’t own any Gold or Silver. The East has all the Gold. The West has the USD, Euro, and Yen. Don’t like that restaurant anymore? Plenty of others to choose from. They can’t de-monetize MONEY which has a 5,000 year history behind it at the flip of a switch. And they aren’t going to make any physical asset worthless. Just the USD.
      I wouldn’t be surprised to see $15 Silver followed by $75 Silver.

      • Oh, come now, Eric. They own plenty of gold and silver, probably more than any other single holder on the planet:
        http://www.kitco.com/news/2016-08-15/Rothschild-Ups-Gold-Bets.html

        …and now they own some bitcoin derivatives:

        https://cointelegraph.com/news/rothschild-inv-corp-invests-in-btc-per-sec

        Of course, none of this addresses the fact that all that wealth transferred from West to East has been by design – we have no idea who the true fiduciary is, but we can certainly guess:

        http://statelesshomesteading.com/dr-bricslove-or-how-alt-media-learned-to-stop-worrying-and-love-the-nwo/

        Last I checked, the PBOC was still a member of the World Bank, IMF, and BIS. Zhou Xiaochuan was still a Globalist stooge sitting on the BIS board. Major Chinese commercials are still LBMA board members, one of which has been on the silver fix since the late 80s. And this is the low-hanging fruit, man. Goes even beyond Rockefeller’s “Opening of China” in the 70s, back to old metals depositories, Standard Oil real estate, and Foundations that, miraculously, survived the Communist purges of Mao.

        None of this is coincidence or accidental. Distilling what’s been happening in the physical PM market to “evil West r dum” and “good Chiners r smart” is the stuff of childish fairy tales.

        • Yes, I suppose Rothschild could dump his entire Gold fund of £22.9 million onto the market but that’s only about 24,000 ounces so not even 1 ton. Plenty for them I suppose. But it’s doubtful to recapitalize London or New York.

          • Don’t make me laugh, Eric. You know damn well Rothschild, Inc. is essentially a public front masquerading as an “investment fund.” It’s a tool to signal the markets what you’re doing with your real, generational wealth behind the scenes, nothing more.
            It’s laughable that you’d even assert they’re worth a mere 22.9 million Pounds. Jacob’s sister ran her mouth a few years ago on Charlie Rose about owning single paintings worth that much, and she’s low on the familial totem pole.

          • Rusticus, I didn’t say they were worth a mere £22.9 million. Of course we know about their castles and art collections. Their wine cellars. They probably have a significant amount of diamonds and US Treasuries also. But I see no reason to think he has enough Gold personally to deliver on every futures contract which is currently standing for delivery.

          • Of course they don’t have enough to cover every futures contract. I’m not even sure all the physical gold in the world could cover that! But you and I know that’s by design.
            My assertion is that a good portion of that gold moving from West to East that doesn’t show up on the PBOC’s balance sheet is old European wealth parking themselves in the next hegemon. Hell, we don’t even know how much of the PBOC’s gold is owned, how much is leased, how much is held by various investment trusts/3rd parties, and who the fiduciaries of these trusts truly are. The SGE will change the rules of the game, temporarily, but it’s the same old wealth that started the LBMA still pulling the strings.

            I hope to be proven wrong about that someday but there’s no compelling evidence to suggest otherwise. Maybe Bill Holter hides it all under his giant cowboy hat.

          • Except none of that is evidence.
            I’ve come to these conclusions after reading policy papers, corporate board lists, rosters of member banks, and cross-referencing these with Anglo-Ameriacan institutions like Chatham House and the Trilateral Commission. I document them, link directly to evidence, and try not to let my personal opinion influence the interpretation.

            That’s what’s called developing primary sources. The musings of alt-media jackoffs who are close to the levers of power like Jim Sinclair, those are secondary sources and by their nature not as accurate. The shit you read on SilverDoctors… well, I dunno what that is, exactly, besides a waste of time.

          • I guess you’re right Rusticus.
            Gold will continue back to $275/ounce and the US Dollar will stay strong and the rest of the world will continue to buy US debt forever. The Fed will be able to unload their entire balance sheet and “normalize” interest rates since there is no inflation.

            But I find more value in studying charts, inventory levels, geological surveys, open interest, the size of contracts, interest rates, debt levels, etc. than I do in reading policy papers.

          • I said nothing of price or supply-demand metrics, as you well know I agree with you on most accounts regarding them.
            A higher gold/silver price are inevitable at some point – likely much higher. But that ain’t got a lick of bearing on who’s repricing the gold. Hint: It’s the same people who’ve been repricing gold for over two Centuries now, not some “Asian Wunderkind” magically conjured from the ashes of Communism.

    • Windrunner58,
      The truly Global Elites hoard Gold and trade/use it amongst themselves and can/will undoubtedly lock the useless eaters out of it’s ownership and/or stop mining it at some point,however silver is a different animal,it is absolutely needed/required to supply their industries and therefore could become scarce due to reduced mining production and/or increase in usage/demand.They could totally demonetize it by restricting ownership,but because of it’s utility they can not reduce it’s value,which will by it’s nature increase,which is exactly why they must suppress it’s true value.It’s not a question of if,only a question of when it will reach it’s true value.
      I’m a patient man,if not in my life time then my children will realize the wealth that has been extorted through fiat inflation from my labor over my working years.

      • Great point, glitter. “They” can let gold trade at any price they want in the “open market” full well knowing, behind the scenes and amongst themselves, that they are the only real chips allowed on the table. So long as gold is never redeemable for the peons, they can set the price as low to the cost of production as they want.
        Same can’t be said of silver. I found it interesting in the Rothschild, Inc. investment prospectus I posted above that their press release didn’t mention silver, only “other precious metals.” But if you look into the details, they’re only invested in one precious metal besides gold. Care to guess what it is? 😉

        • Rusticus,
          I recall Lindsey Williams,who said according to his elite friend,Ken Fromm,Gold and silver are the currency of the elite.The elite have their hoards of both to preserve their wealth and pass it on to their heirs.They too benefit from gold and silver price appreciation since they know and understand full well the deleterious effects of fiat currency inflation over time.That’s why they allow it to rise from time to time to protect their own stashes and counter the erosion of wealth,they’re not stupid that’s why the elite are rich they know how to make money and how to keep/preserve it.If you look at Gold’s return since 2000,it has still beat the Dow even with the five year bear in the metals.When the time is right they will let both go again.
          Like I said,they know the true value of silver and where it would go if the price was unfettered then they would have to pay that much higher price to feed their manufacturing.
          A quick story,I had a friend years ago in the early/mid seventies,he worked for the government in supply/warehousing at the Earl Ammunition Depot in Leonardo NJ.They supply Navy ammunition supply ships via the mile long pier in Raritan Bay,well the point I’m getting to is he and another guy use to pilfer/steal silver meant for scrap that was used in naval batteries.So, that tells me that the Navy,which has access to unlimited funds,doesn’t use crap like lead batteries,they use the good stuff like silver in their batteries,think ships and subs.Could you imagine if Tesla,GM,Ford or any other car mfr were to begin using silver core batteries like the Navy!Maybe electric cars would get twice or three times the distance and last two or three times longer between battery replacements,but there would most likely be a silver shortage and the price would be like where Palladium was in the early seventies at $25oz and is now >$800oz.
          They will keep it as low as they can for as long as they can until something comes along and forces true price discovery.It’s a lock,only a matter of time.

          • Modern electric car motors (namely Teslas and the far superior Chinese clones) have already replaced the wound copper electromagnets with silver – it’s something like 100oz a car! Demand will be astronomical going forward and even ignoring the monetary scenario, silver is likely to experience what palladium and rhodium did post-catalytic converters.

  2. 50{5f621241b214ad2ec6cd4f506191303eb2f57539ef282de243c880c2b328a528} Phyzz Silver and 50{5f621241b214ad2ec6cd4f506191303eb2f57539ef282de243c880c2b328a528} Bitcoin, banker-slaying cocktail… call it a “bitball”. It get we hugggghhhhh…..

    • Congratulations on your monster box (or less) of Silver.
      As your holdings grow, you may want to consider diversifying your portfolio with some Gold.

      • I would never tell someone like you how much silver I have. People like you are an embarrassment to silver investors.

        • I don’t need to know how little Silver you have. I already know it’s hardly anything. That’s why you have to pump your ponzi scheme all the time.
          Explain to me how the COT report works and I’ll show you where you are wrong. Then we’ll see who the embarrassment is.

          • I don’t give a shit about your “COT” (probably has a bunch of goo stains from your bum buddy Howard Roark).
            The embarrassment is people who do not understand the radical effects of computer science and crypto-anarchy presencing itself in the modern physical world.

          • What was just a dream in 1988 is now rapidly becoming reality. Only those “crazy” cypherpunks knew the future, because they were the future.
            https://www.activism.net/cypherpunk/crypto-anarchy.html

            “Computer technology is on the verge of providing the ability for individuals and groups to communicate and interact with each other in a totally anonymous manner. Two persons may exchange messages, conduct business, and negotiate electronic contracts without ever knowing the True Name, or legal identity, of the other. Interactions over networks will be untraceable, via extensive re- routing of encrypted packets and tamper-proof boxes which implement cryptographic protocols with nearly perfect assurance against any tampering. Reputations will be of central importance, far more important in dealings than even the credit ratings of today. These developments will alter completely the nature of government regulation, the ability to tax and control economic interactions, the ability to keep information secret, and will even alter the nature of trust and reputation.”

            -Timothy C. May, The Crypto Anarchist Manifesto, 1988

          • Thanks for re-posting that Rusticus.
            I think I was around 16 the first time I read the Crypto Anarchist Manifesto (might have been using Netscape on Windows 2000) and it sent chills down my spine. Everything these guys, the cypher-punks, the crypto-anarchists predicted way back then is now coming to pass.

            The dullards here can sit back and watch as we make history.

          • You ceratinly came to cryptoanarchy at an earlier age than I did! My first experience with a computer was running Windows 3.1, which I barely remember. The last time I had access to an active Windows 2000 install, I was only 8 or 10. Even when I first heard about bitcoin in early 2010 on a now-defunct gaming forum, Satoshi’s brilliance was still beyond me.
            What fascinates me about the early cypherpunks like Timothy May are not just how forward-thinking they were about their craft, but how they applied it to counter-economics without having studied anarchocapitalism:

            http://groups.csail.mit.edu/mac/classes/6.805/articles/crypto/cypherpunks/may-virtual-comm.html

            I mean, that single essay predicts cryptocurrencies and dark markets in one breath as if it’s an inevitability – and this is before most people even had a 56k modem! And yet, some people still don’t get it.

            Man, what I would give to have been alive during the BBS era – now THAT was a true cyber Wild West!

          • fonesore…If you don’t “give a shit” about the COT report, it would seem logical that you have no interest in the fundamentals of the Silver market and you are the embarrassment to Silver investors and not me.
            The radical effects of computer science and (((crypto-jew))) fake money only prove what a dumb goy you are. Tell me more about the benefits of digital payments. Does one of them put food on the table?

          • Benefits of electronic, digital money:
            * Transparent
            * Secure
            * Borderless
            * Instantaneous
            * Insurable
            * (sometimes) Reversable

            It’s why physical bank notes and coins have largely been phased out and now account for less than 50{5f621241b214ad2ec6cd4f506191303eb2f57539ef282de243c880c2b328a528} of transactions. The consumers have spoken.

          • I don’t really give a shit what currencies they are using “5000 years” after I die. Because I will be dead, which is still better than you conundrum… DUMB + DEAD.

          • I have been enjoying the benefits of digital payments with the GoldMoney debit card. It’s accepted everywhere and really simple. Unlike Bitcoin which I don’t give a shit about but I have to hear about it 50 times a day from fonestar who doesn’t even care or know what money is.

    • @fonestar, I agree about the “Banker-Slaying Cocktail” (bitball) How about a mixture of Phyzz & BTC, call it a PhyzzBit? I like that one.

      Hopefully, one of the cryptos will evolve (rise to the challenge) of being able to handle more than 50,000 transactions per second (to compete with the Swift-system, VISA, & check-clearing systems). Without that kind of speed to settle 1/2 million transactions every 10 seconds, the cryptos won’t be competitive on a real-time basis, but they’d still be useful for slower things.

      I do think the cryptos & blockchain tech will evolve into a high speed system that will replace our present digital-slavery system.

      I’d ask you, what are the faster speed cyrptos capable of handling right now, and how many TpS (transactions per second) can they accomplish?
      I imagine there will be 3 main crypto groups in the world.

      1= there will be “official-gov’t approved” cyrpto (Slave system cryptos)

      2= there will be the open-ledger, traceable, non-approved such as BTC or others. (outside the slave-system, but not considered as black-market or tax-free operations).

      3= and then there will be the “dark-coins”, untraceable, very private coins, such as Monero, Dash, etc. (tax-free, untraceable, black market or privacy enhanced operations)

      And of course, physical metals will always have their place, but they have a harder time making it thru roadblock-checkpoints, etc.

      • I think there’s room for all of these cryptos to co-exist. Some will live, some will die off. And yes, I think the successful ones will scale and compete with Visa/Mastercard TPS. August 1st can’t come soon enough.

        • That should eliminate Bitcoin then since Bitcoin doesn’t scale on demand or even have smart contracts.
          Compete with Visa/Mastercard. lol.

          I don’t recall the entire financial system disintegrating because of Visa or Mastercard.

          The Wild West can be fun. But in the end, if you don’t hold it you don’t own it.

  3. I will tell you why the COT report is USELESS, and why Harvey Organ, Turd Ferguson, Andy Hoffman and others are wasting their time. The COT data is released once a week. EVERYONE who follows the COT report can see it AT THE SAME TIME. There is no way to profit from something, when everyone has the same data. Period. The gap is filled instantly. Markets are efficient in this sense. I challenge you to prove me wrong.

    • Simply put, The extreme large amount of shorts that existed by the Commercials in April coupled with large open interest made a large smackdown in price obvious. The fact that it is released once a week allows us to determine who is long and who is short and how many people are standing for delivery. It gives an overall good picture of where the paper Silver market stands.
      Anyone who is looking for digital “profits” should probably not be trading physical Silver. Especially if they don’t understand the COT report. Perhaps NVIDIA or Amazon? There are many ways to turn a “profit.” But more fiat profits are not a very good reason to stack physical Silver in my opinion.

  4. I understand how it works. If you can obtain something actionable from it, good for you. I have studied it for many years trying to find something really worthwhile. It’s mostly rear view mirror, and it can change in a mili-second. Even if you are trying to evaluate the “longer term view”, on commercials, hedgers etc.Owning silver and gold is a good thing. What irritates me is that there are sooo many
    “experts” in the financial business (who have a following and a voice)… when in fact they are totally clueless and incompetent.
    I have a message for Jim Willie, Peter Schiff, Andy Hoffman etc, etc , etc….. EARLY IS WRONG!

    • Does that make being late right?
      This is silly. We should be happy. Gold is above 1259 resistance. If it holds up here, it should retest 1300 soon.

      I don’t really consider those guys to be clueless and incompetent. But if you do, then don’t listen to them. Problem solved. I still would rather listen to all and follow none.

  5. Eric. You are a sharp person. For 7 years we have heard the same talking heads tell us that silver and gold will shoot to the moon, and the dollar and stock market will crash and burn. 7 years of bullshit and failed predictions. If you still find these people credible, I fail to see how. They know nothing about timing or how markets work. They have caused their followers to miss out on the greatest bull market in stock market history. This is a tragedy for aging persons who don’t have time to recover from the drop in “08”. I deal in facts only and the facts tell me they may be right someday, but for the last 7 LONG years, they have been dead wrong. That is a pathetic track record and you know it.

    • These are long term trends. Bull and bear markets usually last 7-10 years. Gold went up for 10 years and has been consolidating for 6. But what have they fixed that supports the justification for Dow Jones 21,711???
      The year over year increase in M2 money supply divided by the yearly world production of Silver is still $770/ounce.

      Marc Faber has always said 25{5f621241b214ad2ec6cd4f506191303eb2f57539ef282de243c880c2b328a528} in Gold, 25{5f621241b214ad2ec6cd4f506191303eb2f57539ef282de243c880c2b328a528} in equities, 25{5f621241b214ad2ec6cd4f506191303eb2f57539ef282de243c880c2b328a528} in cash, 25{5f621241b214ad2ec6cd4f506191303eb2f57539ef282de243c880c2b328a528} in real estate.

      The next drop in the US equity markets could be any day and for who knows what reason. A massive earthquake would ruin the housing market in my area for a long time.

      As I move into middle age, I have no interest in chasing returns or profits. I’d rather stack and sit tight and wait for the inevitable. But that’s just me. The question I would ask is if you haven’t recovered from the drop in ’08 yet, how many more $$$$ is it going to take? Or is there a better way?

  6. Eric. First off, I’m agreeing with you. Gold and silver are the only hope of preserving wealth. I am not defending the bull market in stocks. It’s a complete sham, and our children will be handed the bill so the baby boomers can live their final years in comfort. It’s the constant failed predictions of the gold and silver experts that disgust me. I am sick of all of them. I have no money problems. I trade silver with a think-or-swim futures account. I wish more people would open a futures account and sell silver contracts at option expiry, making money instead of bitching about the Cartels and the raids on silver. There is nothing you can do to stop it. You may as well profit from it. BTW- the raids happen in every commodity. Corn, beans, live cattle, oil etc. Not just silver and gold.

    • Timco, Selling silver contracts at option expiry is not “making money.” Exchanging fiat currencies for physical metal and taking delivery is “making money.”
      There are other ways of preserving wealth besides just Gold and Silver. Palladium has been doing excellent and Platinum is beginning to turn around.

      I’m not sure which predictions you are referring to. But even Andrew Maguire’s prediction was made back in February where he said “within 6 months.” So just because it didn’t happen exactly on July 5th, doesn’t mean he was wrong. Not to mention, things change on a daily basis. We’re not exactly fighting that little kid that picks on everybody. Our enemy is far more cunning.

  7. Call it what you want. At least for the time being, the fiat currency I make trading silver pays for my groceries, gasoline, school books, ammunition, clothing etc etc etc etc. It’s difficult to pay ones mortgage or rent every month with a bag of junk silver, but fiat works really well. For now, I said.

    • Yeah, it’s difficult to pay for those things with Bitcoin or cryptocurrencies also.
      As always it’s all about having balance in one’s life. I’m happy holding most of my wealth in physical Gold and Silver while adding on the smackdowns and holding and trading a small percentage in the miners. I’d rather hang onto the metals and pay for stuff in the weaker currency.

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