Major Silver Blowoff Ahead
Source: Roland Watson, Seeking Alpha (11/18/07)
The silver spike of 2008 will be a notable event and many will lose money on it as they get on too late or get off too late.
Of course, I can’t say with an oath where exactly silver and gold are going, but I believe it is higher yet and I just want to present two items which help bolster that opinion. You may have your own favorite reasons but first I start with a simple Elliott Wave pattern. Bull markets trace out a 5-part wave that reflects investor sentiment and eventually mania. The three phases are the smart money recognizing a bear market bottom and getting in at the ground floor to create the first wave of buying. The second wave of buying occurs when specialist investment funds pick up the smell of a bull market and add further buying and momentum to the market. The final wave is often a “blow-off” phase when the bull market is all over the front pages and the mainstream investor is looking for a piece of the action. The phrase “blow-off” denotes a final pent up release of investor energy that drives the prices to wild and overvalued numbers....
The silver spike of 2008 will be a notable event and many will lose money on it as they get on too late or get off too late. That’s the raw fact of free market capitalism; it takes from the poor silver strategists and gives to the good (or fortuitous) silver strategists. Make sure you are in the latter camp; don’t rely on feelings when it comes to taking your profits. Get the objective tools you need to get the job done.