The onslaught of silver continues, with silver now at $41.70. Weak hands have contributed to the mad rush in silver as of late, causing silver to go into a temporary parabolic top. This is not the long term top, of course, but is most certainly a top for the short term. Expect silver to fall to roughly the $33 - $38 dollar range. Once in that range, silver should begin to consolidate and trade in a trading range for a short time, between our most recent high, and the established low.
I would expect Gold, as I stated last week to take the spotlight for the time being. Silver and Gold take turns in the spotlight. Strong hands hold steady, if you are not a day trading, go to sleep and in a couple of months look at your portfolio, it will be fine. Remember, never get shaken out of your core position.
The following is from Ben Davies, of Hinde Capital:
"We believe that the market has been exhibiting the precursory signatures of power law behaviour, and that the internet power law of participation phenomena has produced a point of criticality whereby we have seen the top in silver for this half of the year. We believe a real shake out is imminent, in the order of $15 dollars over 3 to 5 days."
This was stated a couple of days ago, and sure enough it seems to be playing out. Get your dry powder ready for when silver hits its target range, use this as a opportunity to convert paper silver to physical silver.
Read the full Ben Davies report at King World News, here:
