Significant silver rallies follow after significant Dow rallies end… It is simply a natural reaction to what caused the stock market rally as well as the effects of that rally so, if it happened before, it will certainly occur again. [Let me explain further.]
This is an edited & abbreviated excerpt from an article* by Hubert Moolman (hubertmoolman.wordpress.com).
These stock market rallies are driven by the expansion of the money supply, causing a big increase in value of paper assets (including stocks) relative to real assets. When the increase in credit or the money supply has run its course, and is unable to drive paper price higher; value then flees from paper assets to safe assets such as physical gold and silver, causing massive price increases. We may have reached such a point in time.
Below is a fractal comparison between the current period (1998 to 2015) and the 1920/30s for the Dow (charts from tradingview.com). Follow the two patterns marked 1 to 5. I have also indicated where silver peaks and bottoms occurred, to show that both patterns exist in similar conditions. This means that there is a strong likelihood that the crash will occur.
If the Dow peak is in (at point 5), then it could free fall soon, much like the October 1929 crash. This could be the greatest Dow crash ever. Therefore, the greatest silver rally could be on its way.
The above article has been edited by Lorimer Wilson, editor of munKNEE.com (Your Key to Making Money!) and the FREE Market Intelligence Report newsletter (see sample here – register here) for the sake of clarity ([ ]) and brevity (…) to provide a fast and easy read.
*https://hubertmoolman.wordpress.com/2015/09/30/dow-about-to-crash-like-october-1929/
Let’s make it simple, either the value of PM’s is going to move (hopefully ZOOM) upward or they are not!
Yes, the odds are 50:50, but the implications are not so simple, if you are left without PHYSICAL PM’s…
If a storm was threatening, who would cancel their flood insurance?
If a wildfire was occurring, who would try and save a few bucks by canceling their fire insurance?
Investors and their account Managers wold be well advised to at least factually discuss the risks and rewards of owning Physical PM’s, to their clients (and themselves) .
Once that discussion has been held (and documented) everyone will be better informed, no matte what the future holds.
Got PM’s?