Silver outlook

Silver outlook

With silver remaining in a sideways going trend over the last two and a half years, something must be “cooking-up” in the market.

Please look at the below charts over the last 3 months, the last 1 year and the last 5 years.

The reason behind this market behavior is obvious, it is forced in these boundaries by manipulative forces who are gaining at these present levels.

We all know that silver as a raw material for various applications, like cellular phones, solar panels and many more, plays a major role in the cost price for these goods we all want and need at this moment.
A major price increase for silver reflects badly on the sales of these applications, so the market will do anything to remain at the present price level.

However a price consolidation or manipulation on the present level is not sustainable as the actual supply of raw material is decreasing with major mines who produce silver (also as a by product) are in a declining rate.

It is my believe that they (the market) will do anything to keep the present levels, but at some point the real market will have to kick in at some point.

Silver has a in my believe a limited downside but a substantial upside. So accumulating the metal is for the longer term a wise investment decision in my believe.
An allocation of your investments in precious metals of around 10% is my preferred situation.

Enjoy!