Bashers who say Silver is going to $12-14 or whatever. That's like saying all the gas stations are running out of gas and don't have any more for customers. Well we better lower the price lower. Supply and Demand dictates we go higher. Silver supply does not meet up with Silver price currently.
How can you tell a new bull market has begun?
Old and new posters proclaim drops of 50% or more with bravado.
Shortages of commodity occur with regularity.
Rationing of the commodity.
Smart money buys the bottom.
A reversal sentiment will lag.
The market will correct. Short sales creating forced sales is not indicative of true price as exhibited in the physical market. I've been reading about major mine closures, unrelated to the cost to mine. These closures have not been factored into pricing, because they were announced during the short attack and forced sales. Smart money is coming back now that traders were forced out. I am very interested in States making Silver and Gold Legal Tender. Arizona won approval. I think 13 States have approval. What does this mean for the long term price for PMs???
There was an article I just read about the cost to mine gold as per the gold counsel. The cost was 1,211 oz. The article echoed what I've been saying - marginal mines will close, decreasing supply. Margins / cushion is non-existent in Silver. I am convinced that costs exceed current price. What a great time to invest. Gold production will drop but Silver production will drop much quicker and more exaggerated.