As menta refers to Bob Prechter's recent observations:"Every one...

As menta refers to Bob Prechter's recent observations:

"Every one of these statements was -- and still is -- correct.
If markets follow the rules of mechanics, silver would have risen to the moon for the stated reasons.

But silver had already peaked at $50 per ounce two years prior to the book's publication. It did not bottom until 13 years later after falling an incredible 93% in value..."

The question is -- will silver's history repeat itself now?"

I also read Prechter's article.

There is a different world now;

** China's citizens now have access and official encouragement to buy PMs.

** The PRC has a growing middle class.

** India is also growing a substantial middle class.

** The Internet is increasing transparency into the financial world - previously we only had rare glimpses into its workings.

** GFC 1 has shown the vulnerability of allowing money moguls to run a system that is clearly flawed - fiat paper promises backed by belief & goodwill.

** Panic selling of paper assets - like Municipal and National Bonds will likely push the system off its axis.

** Where do people stampede to during financial systemic failures.


I suppose the questions is, has Prechter considered all of these factors?

It may be a bumpy road, but like garry w, I won't be putting my money into Bonds or Paper-backed gold certificates either.

cheers