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Wallace, Idaho (5th
April 2006) – It’s over. There is no
more bear party: their party has ended. Their musical chairs
are not emitting music anymore. Anyone with any sense has
sat down. The paradigm shift has, well, it has shifted.
If you want that one last chair, and love to gamble, then
hold out for $9 silver or $500 gold. Otherwise, acquire
all you can at $11 or $600, grab a chair and call it a good
day’s work.
Divest yourself of any company with a hedge
book. Flee from the shorts and the derivatives, the liars
and the thieves. They may have made you money in the short
run, but in the long run they will kill you. Hide behind
a metal shield as any good warrior from Egyptian times forward
has learnt to do, and do it quickly. Aim straight and fire
true the first time. Or at least fire first. You can always
re-aim while your enemy is trying to figure out where you
came from.
Expect some violent corrections, as a market
change of this magnitude is not without its turbulence.
It’s why they put seat-belts in airplanes. You will
attain your advertised cruising altitude, but not without
a bit of chop along the way.
Does this mean silver has nowhere else but
up to go? No. The tea leaves tell us we’re in for
a nasty and violent correction, perhaps as early as next
week. Look for a test of $8.50 or even $7. But because we
are in a bull market, this correction, however violent,
will be brief. We got out of the March doldrums unscathed,
but don’t think there’s not a payback coming
our way.
Try to buy physical silver right now at $10,
or even $11. The cheap stuff’s gone. Maybe all gone.
The Arabs and the Russians and the Chinese are converting
their paper US cash into something fungible. This is not
about the Hunts cornering the market. It’s about real
people who are selling their real assets, and who want something
real in return. They are far beyond the reach of the Federal
Reserve this time – unlike the Hunts, who played by
the Fed’s rules and got screwed by the CFTC.
The fundamentals are piling up. There
is huge leverage to this market, even with a crash down
to $7. Get it now, while it’s cheap. The Fednote is
in a graveyard spiral from which there is no recovery. The
world has figured out that printing presses cannot make
gold, silver or gasoline.
By David Bond, Editor
The Silver Valley Mining
Journal
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