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US Debt Bubble Ahead
18 January 2024Over the last couple of months, silver has taken us for a wild and very profitable ride. The silver price battled to get thru the $50 mark. Once it got thru to $54.49 on 12/10/25, it fell back a little to test the buyers and then shot up to $121.65 on 25/01/26. This is 123.25% profit. Not too shabby at all. My repeated warnings on silver came true. I have always said not to wait to buy silver, instead buy silver and wait. This has proved to be a good strategy once again.
We have now witnessed a dramatic pullback due to the big players in the market trying to make back some off their losses. For a long time whispers of manipulation of the silver market has been around and we have now finally seen them take their medicine. JPMorgan has closed out their massive historical short positions of about 200 million ounces and have now bought 750 million ounces of physical silver. This totally confirms what they think of the silver price going up hugely.
We now have to look at the technical analysis on the charts to see what the future holds. From the graph on the right we can see that the price has pulled back to $54.77. The $54.49 seem to be the support now. The immediate resistance level now is around $63. The stochastic indicator is also starting to turn up signaling a price increase is coming. The silver price is also forming a descending triangle which will eventually break out violently to the upside.
Michael Oliver, who is a world renowned expert for his deadly accurate predictions on stocks and bonds has this to say about the silver market. He says silver is coiling to go much higher very soon. You can check out his MSA research here. Currently the structural silver supply deficit is 46.3 million ounces. More importantly is that the shortage since 2021 to now is a staggering 762 million ounces as per the Silver Institute latest report.
Given the above information, I am of the opinion that it is time to start buying silver. We must also not forget how local supply of coins and bars just dried up for about 3 months. You could not buy any silver at all in South Africa. Once again I urge you to not wait to buy silver, rather buy silver and wait.