>>>When examining the present situation in silver, what everyone...

>>>When examining the present situation in silver, what everyone needs to know, first and foremost, is that technical analysis is an exercise in futility in a manipulated market<<<


Incorrect. In case the author hadn't noticed EVERYTIME since this bull market began and the PM's have risen and become over extended, they have corrected.
Pay close attention to the 200dma and how it was flashing a major sell signal for silver back in April along with quite a few other technical indicators and how similarly the same occurred in gold back in August!


>>>The silver market, because of its limited supply from above-ground sources and excessive manipulation, must be examined from a fundamental standpoint. It's all about paper versus physical<<<


>>>We all owe deep gratitude to Ted Butler<<<

For what? The guy was telling us back in 2004 that silver would be 50 bucks at any moment.


>>>Because of this special situation in silver, you need to know that central banks, in general, and the Federal Reserve, in particular, are creating conditions that will compress the time at which the great silver shortage will start<<<

I repeat again. THERE IS NO SILVER SHORTAGE. There is so much above ground supply that can last for decades. I can asure people that given the right price there will be so much silver hitting the market it could sink a thousand ships.


>>>Let us assume, conservatively, that the average Indian farmer manages to save the rupee equivalent of $100 in a good harvest year<<<

He is kidding. 100USD is the equivalent of around 5K INR the vast majority of Indians couldn't even go close to saving that amount!
Given the facts, the rest of that paragraph is just rubbish.


>>>I shall go out on a limb and say that the shortage of physical silver that we saw last April will be magnified<<<

There was no shortage in April. There were a few reports that buyers had to wait to buy bars and such but that was because refiners couldn't keep up.
The shortage was artificial. I ask the author the following question:

If there was a shortage then WHY did the silver price collapse?

I suspect the price collapsed because people STOPPED buying!


>>>For the greater part of the month, India's two major, silver refineries had stopped working, altogether, because of a shortage of raw material, and the only silver that was being traded was scrap. For this reason, the price premium of silver bullion in India during that period fluctuated, roughly, between $2 and $3 per ounce over the COMEX price<<<


This one is fanciful. The real reason that Indian refiners stopped refining was because the Indians COMPLETELY stopped buying due to the price.


The bottom line is that articles like this do nothing but skew the real fundamentals and drivers of metals. There is NO physical shortage of silver. There is merely an increased demand and bidders driving the price higher and that ends with speculators eventually pushing the price into overextended levels.

There is a time to BUY and a time to SELL everything. Silver back in April was way over extended and has since had a great deal of trouble recovering traction since the massive sell-off. If people had been looking at the technicals then they would have excited the market and saved themselves a whole deal of pain and potential losses depending on when they entered.

Whilst I remain a longer term bull the fact is that there was substantial technical damage done to silver in the months following the sell-off from $50.
Technicsl damage that is still having consequences. So the author can either acknowledge this fact or ignore it if he wishes.

Do what you all feel you need to , HOWEVER don't buy the hype from baseless articles like the one from this guy!

Ther has been substanial damage done to the silver market and it shall take time to recover. The weekly chart of silver suggests that $20 silver is not out of the question

Cheers


There is NO shortage of above ground silver. I repeat...THERE IS NO SHORTAGE OF ABOVE GROUND SILVER!.....It is a myth!