-- Posted 13 April, 2006 | Digg This Article
If you think your silver (and gold and copper) stocks and physical holdings of same are safe because you don't play the paper futures and options markets, listen up!
This year, 2006, that gong has been rung five times in a concerted effort to sound the death knell for silver's spectacular rise. So far agents of the banking cartel, the COMEX, CBOT, and NYMEX, have been unable to halt its rise. They did it with natural gas bringing it down from $15 to $6.50, and they can and will do it to silver, gold, and any other commodity that threatens their fiat monetary system. They've stalled silver's rise intermittently, but haven't broken it in an effort to reward their co-conspirators that are not only short, BUT ARE SHORT OVER 700 MILLION OUNCES WHICH IS MORE THAN AN ENTIRE YEAR'S PRODUCTION! Can you imagine the financial horror if they tried to match up these derivative instruments! The Big Bang.
Now, don't get me wrong. We are the good guys, and we're looking to protect ourselves from a deteriorating medium of exchange, paper money. Paper currency that is being printed and distributed at a shameful rate from every government of the world, and puts every person at economic, and eventually political risk.
The most effective weapon in the conspirators' arsenal is the margin requirement tool. Short of outright confiscation, tax schemes, and additional regulations placed upon the free trade transfer of the metals between parties, raising margins is the way to go.
Death to "speculators" they'll tell us! Turn in a silver and gold hoarder and earn yourself a bounty. Not yet, but we're getting there. You see, broken down to the lowest common denominator makes it easy to understand these leveraged markets. Gold and silver are money, and that's why you and I want it. We want to delay our consumption. We're looking to the future. We want to save it as a defensive measure, and not risk our family's economic welfare by trusting paper and ink from a government we no longer trust.
As I outlined in a previous
article government interference in our markets is something that will shock and awe even the most resilient investor. Our own government is the biggest manipulator in the world's financial markets, bar none. China's renminbi is child's play.
Below, you'll see the margin increases 2006 to date. I didn't go back through 2005 or earlier. You can do that
here. You can go to the "News" tab drop down menu and select the year. What we need for a more meaningful mosaic are the contract volumes alongside the COT numbers. Maybe one of you newsletter gurus out there can spend some of your subscriber's money and put this together. It may keep your subscribers solvent so they can re-subscribe for another year.
We won't know the tipping point in the price until it happens. But, be assured you won't win, and will be fortunate to escape with your initial investment. This is an election year and rising silver and gold prices are a clear and understandable tip-off to even the most stupid voter that "inflation" is robbing him of his quality of life. The incumbent's re-election comes way ahead of your welfare.
Yes, you and I know we're right about a critical shortage of silver. But, if you're leveraged beyond common sense you won't be with us to enjoy the runaway blastoff. Think of that image of the downward silver plunge of 1980, and you'll get my meaning. You don't want to be on the downward slope of anything resembling that, even if it's only a toboggan ride from $13 to $9!
- - CV
-- Posted 13 April, 2006 | Digg This Article
