[MadMarketScientist]

Silver has been the best trade for last 7 months, the following table makes the point...

Total return since August 27, 2010
Global Asset
140.4% Silver
75.1% Corn
39.0% Crude Oil
38.2% Russell 2000 Index (Broad Stock Market)
36.3% CRB Commodities Index
35.8% Coal
35.1% Soybeans
31.8% Nasdaq
30.1% Copper
27.2% S&P 500 (Large-Cap Stocks)
25.2% Dow Jones Average (Large-Cap Stocks)
21.1% Gold
18.3% Financial Sector SPDR Fund (Big Banks)
5.6% Producer Price Index
2.3% Consumer Price Index
-2.2% Investment Grade Corporate Bond Fund
-2.6% 10-Year U.S. Treasury Bond Total Return
-10.6% U.S. Dollar Index

Are you in the trade yet?

[TheNegotiator]

Yep, it's going pretty crazy right now over in silver. There is talk of price manipulation by certain investment banks. If things go wrong here, the current movement of silver could well be dwarfed. I encourage people strongly to google silver manipulation.

[zdo]

Yep
http://www.traderslaboratory.com/for...read-7706.html

But - better late to the party than never ??? I'm taking profits now. Stopped buying at 24...

MMS, not to go all 'autrian econ' on you but ... do you have thoughts on the Gold/Silver ratio?
At this point, that seems to me like a far more prudent trade to bring your readers attn to than outright AG trading... that is unless they are prepared to manage and thrive through a possible correction down to 32 ish
The Real Gold/Silver Ratio Part II - SilverSeek.com
etc etc

[MadMarketScientist]

zdo - about the Gold\Silver ratio, yes you are correct, that is a far more telling story. it has definitely closed the gap but it is still off its historic lows ...

2011 - 24
2007 – For the year, the gold-silver ratio averaged 51
1991 – When silver hit its lows, the ratio peaked at 100
1980 – At the time of the last great surge in gold and silver, the ratio stood at 17.
End of 19th Century – The nearly universal, fixed ratio of 15 came to a close with the end of the bi-metallism era.
Roman Empire – The ratio was set at 12.
323 B.C. – The ratio stood at 12.5 upon the death of Alexander the Great.

is silver in a bubble or is there another 100% to go? unfortunately, i think it all depends on the what the Fed does ... and who knows what they plan on doing. i'm not even sure they know sometimes!

MMS

[Stock Trader One]

Originally Posted by MadMarketScientist »

Silver has been the best trade for last 7 months, the following table makes the point...

Total return since August 27, 2010
Global Asset
140.4% Silver
75.1% Corn
39.0% Crude Oil
38.2% Russell 2000 Index (Broad Stock Market)
36.3% CRB Commodities Index
35.8% Coal
35.1% Soybeans
31.8% Nasdaq
30.1% Copper
27.2% S&P 500 (Large-Cap Stocks)
25.2% Dow Jones Average (Large-Cap Stocks)
21.1% Gold
18.3% Financial Sector SPDR Fund (Big Banks)
5.6% Producer Price Index
2.3% Consumer Price Index
-2.2% Investment Grade Corporate Bond Fund
-2.6% 10-Year U.S. Treasury Bond Total Return
-10.6% U.S. Dollar Index

Are you in the trade yet?

Wow - Silver looks like the big winner here

[SIUYA]

do those returns take into consideration the cost of rolling contracts every month and paying for the contango, or are they the spot prices?

[Chippy]

Luckily my advisor told me to get short yesterday at 49.030. Biggest risk trade I ever took, but biggest gain I have EVER had on only 2 contracts lol


I will attach a pic since no one would believe me...even myself haha

[iwshares]

I've been at silver trying to work out what position to place. I've plotted fib levels based on the 24/8/10 - 3/1/11 uptrend which ended on 31.024. These suggest price then pulled back to almost the 62.8 fib level of 25.792 before retracing back up through the 100 fib level and with a small pullback on 14/3/11 pushed through the 161.8 fib level on 5/4/11 with a small pull back on 11/4/11.

Would other people agree with me that if it drops below the 39.191 level, or even better the 38.043 resistance level it will likely return to the 25.792 - 31.024 range of late 2010? Or would other people start shorting it before that e.g. around 42, the low of 18/4/11?

Looking at the long side would hitting the 261.8 fib level of 52.950 seem possible and yesterday was just a pull back along the way? Yesterdays high placed us about 3/4 of the way there.

Edit - interestingly changing the fib levels to run from 24/8/19 - 9/11/10 would indicate the 261.8 level of 47.996 was pretty much hit before the market yesterday tested the limit but couldn't propel the sustain the price above it. In which case the 161.8 level of is an even better resistance/support level. With this degree of chart fitting I could almost call the top...