Silver

We choose to focus on the charts because a reflection of developing market activity tells the most accurate and current story. It is not a promising one heading into 2015, however, but it is reality, and to expect anything else will lead to the same disappointments of 2013 and 2014. Forget the ego-driven predictions that have all proven wrong again and again, and deal with what is - and this article deals with what is by looking at the charts.

2014 is ending unexpectedly for PMs, considerably weaker than what most thought would be sharply higher prices. Based on what the charts are conveying, at least the initial part of 2015 will not fare much better. Supply and demand are not the driving factors - world financial dominance is [and most]... PM “experts” are not focusing on this aspect. [Let me do so and show you how such a factor is the price trend in gold and silver in the charts provided.]

This one seems like a no-brainer. The government or the central bank prints more bonds, notes and bills, and prices for things go up in response. Gold is real money, so it must fluctuate along with the inflation rate. It’s basic physics but it doesn’t happen that way. Let’s examine the history of inflation and the precious metals since the low of the Great Depression.

There is a potential for gold to be forming a bottom, based on the explanation provided on the chart below, but there are a few steps that must be met before anyone can say, “The bottom is in.” If these simple but important steps are not met, then there is the likelihood that yet another low can occur.

Every bottom undergoes a process of retesting but none is yet apparent in gold & silver. In the early part of 2014 we said that the second half could likely be more of the same as it was in 2013, and with just a few weeks away from the end of the year, prospects for 2015 can equally be brought into question regarding the price appreciation of gold and silver.

A look at the charts shows that there is no foreseeable change for gold and silver that has not already been covered in previous articles, and certainly elsewhere, and puts an end to all the pronouncements from so-called experts that PMs would be much higher.

Back in May WaveTrack International’s Peter Goodburn predicted a sharp downturn in precious metals prices...by the end of Q3 this year, which would then be followed by a massive reversal in prices which would take all the major precious metals up to new highs probably by early 2016. This article provides an update to his May projections.

As encouraging as the recent rallies in gold and silver may seem, they are still just rallies within a clearly defined down trend. For trading purposes, there is no reason to be long. For buying and holding physical gold and silver, there are too many reasons not to be long. Plan accordingly.

My new analyses of gold & silver suggests they will both show renewed weakness before jumping dramatically in price by the end of 2016/early 2017 - to $3,500 and $90 respectively . Below are the specific details (with charts).

This article looks at 30 Dow Jones constituents and physical gold and silver and determines the risk -return ratio of each. Send it off to your financial advisor for his edification.