Silver Now Outperforming Gold
Source: Roland Watson, Seeking Alpha (2/28/08)
Since the August lows, silver has gained over 70% while gold has put on 50%. Divide those two numbers and you get silver outperforming gold by 40%.
In my last article, I pointed out that the net short commercials may well begin to feel the heat and begin their third capitulation of this 5 year old silver bull market. Indeed, if they haven' began to cover at cents below $20 an ounce, the sense of urgency brought on by mounting financial losses must be as loud as a roaring silver bull bellowing right into their ear holes.
As said before, silver is a prime choice to leverage any rise in the price of gold. Historically this has proven true and there is no reason why that strategy will not produce extra profits again so long as you exit near the top and not swallow the huge losses that can afflict those who buy too near the top without a proper exit stratagem.
Since the August lows, silver has gained over 70% while gold has put on 50%. Divide those two numbers and you get silver outperforming gold by 40%. Of course, very few people sunk all their money into silver at $11.15 on August 16th 2007 so this picture is not representative of silver investors...