Saturday, February 6, 2016


We are certainly seeing what we've expected. And yes, silver is simply slightly tracking gold, because as a PM, that's the way. For me, it's about keying into the contango of the futures. For those who got in at the dead lows of December 2015, on minimal premiums, usually under 30 dollars US per ounce, selling in mid to late February and then reacquiring after the inevitable correction once backwardation has run its course, is the smarter play. Short term gains are realized, whilst positioning one's self for further acquisitions after correction. Will gold peak in late February or march? keep an eye on the futures market. Keep an eye on the dollar and its technicals. In this manner one can appreciate earnings and continue to and prepare for, new purchases at reduced prices once this has run its course.

Still stand by the lower prices of gold and silver for the year, especially in summer and late fall. The last thing to do is buy high on the run-up, AFTER it has broken its 50, 200, and multiyear moving average, which gold has already done. Or, as many do, screw profits. Just hold and damn the losses against current price in futures terms against past entrance price points. For many, that's the plan...acquire and hold. Fine. Then you miss profit taking. Pay off some bills, etc.

Currencies die, true inflation above 8%, gold serves and protects