Posts from the silver doctor are available on facebook if anyone...

Posts from the silver doctor are available on facebook if anyone is interested. Another good facebook page to befriend is jason Hommel's. Some good silver articles etc.

The next few weeks is going to be interesting. Good luck all.

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Friday, August 19, 2011Silver Breaks $43 in Access Market Trading
Silver and gold have finished their spectacular weeks with an absolute bang!
Silver closed the week up over $4, and gold gained $110 for the week!

Silver continued to run throughout this afternoon's access trading, touching $43.05 and CLOSING at $43!
This is immensely bullish for next week, as silver has made a STRONG WEEKLY close above $42.
Once silver clears $43...there really is barely any technical resistance whatsoever between $43 and the May high's of $49.73. The $6 vacuum in price shouldn't take long for silver to gap through...particularly with The Bernank's Jackson Hole appearance next week where nearly all of the market is expecting QE3 to be officially announced.
IF QE3 is to be announced next week at Jackson Hole, we expect massive subsequent margin hikes in both gold as well as silver either this weekend or early next week by the CME.
Gold and silver simply cannot be allowed to be trading at $1850 and the mid $40's upon the announcement of additional QE by the Fed.
A QE3 announcement next week without substantial prior margin hikes in gold in silver will see $2,000 gold and $50 silver at a minimum by the end of next week.
Enjoy your weekends, next week is shaping up to be EPIC for gold and silver.

MARKET IS CLOSED
(Will open in 62 hrs. 32 mins.)
Metals Date

Ask Change Low High
GOLD 08/19/2011

1854.10 +28.20 +1.55% 1837.10 1866.10
SILVER 08/19/2011

43.00 +2.26 +5.56% 41.38 43.05


Posted by The Doc at 6:02 PM Email This
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11 comments:
Jay said...
Sorry if I'm being abit slow, my excuse it its late here and I've had afew drinks.

Why would the raising of margins increase the POS?
As we know previous hikes have been used to crash the price.

August 19, 2011 6:08 PM
swattsup said...
Doc,

"and silver simply cannot be allowed to be trading at $1850" - ?

I think you're missing part of a sentence. Started partying early this weekend, eh?

August 19, 2011 6:26 PM
The Doc said...
lol, thanks Swattsup. Lost the first word somehow between editing and publishing.
Thanks for the heads up...fixed now!

August 19, 2011 7:18 PM
flaunt said...
Is everyone really expecting it at Jackson Hole? I haven't heard any mainstream analysts saying that so I'd be interested to hear who is saying it. Jobless claims are on Thursday and GDP is at 8:30 on Friday which may be part of what will drive the decision. Bernanke speaks later at 10am. It would be shocking if there were a bad GDP number and no strong hints at additional QE. If we get a full-blown announcement of significant QE expect a huge correction in gold (buying opportunity) and a monster face-ripping rally in the stock market the likes of which will be talked about for years. Question is will that be a shorting opportunity. Next week is going to be exciting... The volatility is almost palpable already.

Seems highly unlikely there will be any additional margin hikes in silver right now. They like to wait until there are lots of leveraged up longs before taking short positions and then jacking up margins "to reduce volatility." LOL.

August 19, 2011 7:20 PM
The Doc said...
Flaunt...I agree that margin hikes in silver are unlikely next week...provided the Fed waits to announce QE3. IF they do plan on announcing QE3 next week, then I would expect silver margin hikes prior to the announcement.
Personally I think the odds are that the Fed may begin strongly hinting at QE3, but may well wait to officially announce it.
As you said..it will be an exciting week, and we will see soon enough.

August 19, 2011 7:25 PM
Jay said...
Doc I'm surprised you cannot even answer my question.

Flaunt I agree with you.

August 19, 2011 7:28 PM
Ashutosh said...
WoW Love this one, I am holding my Silver since April..

August 19, 2011 7:30 PM
The Doc said...
Jay...I did not state that margin hikes would be used to hike the USDX prior to QE3...I was stating that IF (note...IF) QE3 is to be announced next week, the cartel MUST knock gold and silver down significantly from current levels.
I just don't see the Fed announcing QE3 while gold is at an all time high near $1900...as it would risk gold becoming disorderly to the upside.

August 19, 2011 7:35 PM
SilverCrusader said...
Jay, you sound like an obnoxious intoxicant. Please address the Doctor respectfully.

August 19, 2011 7:46 PM
flaunt said...
Doc, you think gold goes higher upon an announcement of QE3? I lean more toward thinking a lot of that money is going to come out of the high-profit position and rotate into a severely beaten down stock market. If they wanted to beat down gold, the best thing they could do would be to create a "risk on" environment.

August 19, 2011 8:05 PM
The Doc said...
Flaunt...gold and silver both jumped substantially on the announcements of QE1 and QE2. I see no reason to expect differently for QE3.
QE3= the monetization of the US budget deficit.
I also would expect a big stock market jump like you mentioned, particularly with the beating the market has taken over the past two weeks.

August 19, 2011 8:11 PM