Tuesday, July 20, 2010

Silver & Gold

Investment thoughts: Silver has remained flat for 2010, yet I cannot shake the feeling, based on historical knowledge, that will not last. Consider that the Chinese have more than tripled the amount they buy since 2004.

While many have turned to gold as an asset saving measure, others have turned to silver, and I believe that will only increase.
90+%of all the gold ever mined still exists as coinage or jewelry, 90+% of all the silver ever mined is gone, used for industrial purposes, such as medicinal and photographic applications. The biggest fact I hang my hat on is the historic ratio gold and silver have maintained throughout history. In most decades, gold has been priced at a ratio between 9 times to 16 times the price of silver. Today that ratio is almost 70 to 1. that means one of three things have a great likelihood of happening;

1.) That gold is overvalued;and will fall in price, dramatically
2.) That silver is undervalued; and will increase in price, dramatically, or

3.) It's a combination of the two.

Anyway you slice it, the price of silver has little chance of falling.

For investors, this could be a bonanza.
Many experts are continuing to predict gold’s rise towards $2,000. Which means a realistic target price for silver should be between $100-$125/ ounce.
Already, that’s over a 500% gain over today’s price of $18...
Pressures on the availability of silver will only enhance what I believe will be silvers' rise.

Silver is used for so many of today's high tech industries from medical equipment, to compact disc production to photography. It is one of the most conductive metals found on Earth, so its continued importance in technological advances is all but guaranteed.

There are many ways to invest in silver; bullion, ETFs, Mining stocks, junior mining stocks.
I like many of the junior miners for their potential, the most attractive of them can be found on the Toronto Stock Exchange.

Editors note: I apologize to my many readers for not posting more often. Since the death of my wife, my life has dramatically changed, both in daily surroundings and financially. If I could find a way of making this site profitable, I would continue to do it. But my responsibilities dictate I devote energies elsewhere. Good luck to all of you and thank you so much for reading, it has truly been my privilege and honor.


Buy gold online - quickly, safely and at low prices