Silver will hit new highs in just weeks, JamesTurk tells King World News
Seeking Alpha Analyst Since 2011
After the silver dip or correction experience I had to take few days to recover from the shock. As I am very new to being a small investor. It is a pity that there is so much manipulation going on in the market. It is very encouraging to hear the news from the financial guru James Turk who knows the market inside and out and when he speaks you listen. There is also a great analyses written by
Anatomy of Silver Manipulation - How Low Can It Go?
Posted May 9th
“Silver Will Hit New Highs in a Matter of Weeks”
“I’m taking my cue here from the mining stocks. The XAU once again held above the 200 level which has been the bottom of its trading range. That suggests to me that both the mining shares and gold are sold out here and due for a big bounce.”
The action in gold this week will be important as strength here will indicate the beginning of a move back toward its record high. I expect that high to be probed by the end of this month. After all Eric, nothing has fundamentally changed. The dead cat bounce in the dollar has not altered the bullish outlook for gold.”
When asked about silver specifically Turk stated, “At times like this it is important to stand back and take a look at the big picture. So the key point here Eric is to focus on the chart (above) which does a great job of illustrating this. If we put last week’s price drop into context and focus on all of the factors that have been driving silver higher for ten years, it’s logical to conclude that the big price jump in silver is still ahead of us.
Eventually there will be a mania in silver, but in the fullness of time what we just witnessed will be seen as a first act. The fact is that the final parabola in silver during the climax of the third stage or manic phase will be one for the history books.”
Silver’s Correction – We’ve Been Here Before
This time I expect silver will take only several weeks before exceeding $49.78, the 31-year high reached on April 25th.
The only conclusion to make about gold is that it is heading to my $1800 target and looks like it will get there soon, maybe sooner than the June 30th date I had been anticipating.” Silver got close to its all-time $50 record high when it reached $49.78 on Monday morning in Asia. It is currently still below that price. Therefore, silver has not yet confirmed the new high gold made today. That may mean silver has to build a base here in the high $40s before plowing higher, and let gold lead for awhile. That would not be surprising given that silver has been leading since last summer, as is clear from the drop in the gold/silver ratio. We'll see how long it will take silver to hurdle above $50, but regardless, let's step back from the trees and look at the forest.
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