Cartel's Last Stand Against The $17 Price As Silver Goes On The Offensive
SD Midweek Update: Shifting its focus to silver, the cartel is making its last stand in The Battle For Seventeen...
Editor's Note: In addition to all of the fast-paced news to discuss in today's live-stream at 12:00 p.m. EST, please know that I have lived in El Paso, Texas for many years, I was a soldier in the US Army stationed at Fort Bliss, and I have been to that Walmart and Cielo Vista Mall for a combined total of hundreds of times, so if you have some questions that may be hard to get answered, I'd be honored if you ask them in the chat during our live-stream, linked here.
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Gold broke-out above $1500 last night at 9:40 p.m. EST.
Silver has been lagging.
Lagging, that is, until now.
Silver is doing battle at $17 as I type.
What do I think is going on right now?
Well, I think the cartel is going to let gold go to focus all of their remaining firepower on silver.
Remember, more than anything in the entire world, the Deep State Globalists fear silver the most.
And while they have been successfully waging a war on two fronts - the gold front and the silver front - it is clear that not only is the cartel losing on the gold front, the but cartel is about to make its last stand with silver.
Yes, I think we are very close to that battle right now.
And I get it: We're only talking about seventeen stinkin' bucks.
But it has only ever been about price if you trade the stuff on paper.
I haven't placed a single trade all year.
If you want to really deliver a fatal blow to the cartel's ability to suppress silver any longer, then the way to do it is simple: Stop playing with their paper and buy the real thing.
Back to the seventeen stinkin' bucks: We're about to see the price make a move towards silver's actual value.
I haven't said this in a while, but it needs to be said right now -
Silver is a precious metal, and it is so precious that there isn't even enough of it to give everybody on earth an ounce of phyzz.
The other precious metals, and I'm not going down the "exotics" route here, in general terms, are gold, palladium and platinum.
If we take the average price of gold, palladium and platinum, we arrive at an average price of $1,261 per ounce.
That's using $1510 gold, $1415 palladium and $860 platinum to arrive at the $1261 per ounce price.
Now, let's add in silver to the calculation and see what we get for the average price of one ounce of precious metal: $950.
That's using $1510 gold, $1415 palladium, $860 platinum and $17 silver to arrive at the nearly $1000 per ounce price.
Yet silver is sitting here at seventeen stinkin' bucks?
If silver is truly a "precious" metal, and there really is no denying that fact, then silver is going higher.
A lot higher.
In my opinion, by hundreds of dollars per ounce.
Very soon.
Think about it this way: Palladium & platinum are mainly industrial metals with a minor monetary component to them, gold is money, and silver is money.
But silver is also an industrial metal.
Silver takes-on both of the roles, and silver truly is the real power of the people.
Which is why the cartel has made silver seem worthless for as long as possible.
And I'm talking decades.
But they are surely losing control, and I would argue there is no denying that either.
The problem the cartel has right now is that because silver has been so suppressed, and very heavy-handily so, when silver's price approaches its value, it will seem ridiculous talking about a break-out above $17.50, or $18.50, or $21, or $26, or even $50.
Because in my opinion, silver is about to blow right past those prices.
Why?
Well, silver must now begin to have a price that is more reflective of its actual, real value.
And therein lies the problem, and that is why I am calling this the Cartel's Last Stand.
Because once silver starts to move, silver will in-fact grab everybody's attention, and I do mean everybody's, and there will be nothing the cartel can do about it.
The cartel will be powerless.
People will have the power.
It is all starting now.
With this last stand
The cartel sure has dug themselves a pretty bunker with a gold-to-silver ratio sitting at 90 again:
Though I'm sure they know silver is now a nuclear-tipped bunker-buster, but luckily for the cartel it will be quick and painless.
Besides, they will have other problems on their hands, so they will have to let silver go.
What other problems will the cartel have on their hands?
Oh, in no particular order, only:
The hyper-inflationary death spiral of the US Dollar.Systemic collapse of the banking system.Bond and stock markets in chaos.A public ready to finally put an end to the Fed.Friends, stackers and trolls: It is going to get very ugly on both Main Street and on Wall Street, so please protect yourself.
I have said "the fear trade" is on, and anybody who thinks it is not on, or anybody who still thinks they still have plenty of time to protect themselves, well, let's just say I hope you understand what I mean when I say, and I have been saying for some time, "economic misery" and "financial ruin".
Here's the moment gold broke $1500 last night:
I must say I was pretty nervous with the "selling" into 9:00 p.m. EST, but once we moved from less than $1492 to above $1494 in two ticks, you just knew we were going to crack the whole number.
Gold saw continued strength overnight:
I think we can see further momentum into the rest of the week.
Check-out the break-out on gold's daily chart:
From the low print of $1167 on August 16th, 2018, we're now up nearly 29% from one year ago!
Silver's daily chart looks all sorts of bullish right now:
Silver's got room to run here, and I think silver will run.
Palladium is still finding support above $1400:
Palladium might not be getting the attention it got last year, but palladium is up over 70% from the low on August 16, 2018.
I think platinum will move soon, and fast, as the "platinum to gold arbitrage" is looking more and more inviting to those with deep pockets:
Platinum is also about to put in a golden cross on its daily chart.
Bullish.
The commodities are where things get tricky, but I think that's because the cartel is about to send the price of commodities soaring to really get price consumer price inflation to deeply and severely bite-down on Average Deplorable.
Case in point is crude oil:
The hard part is knowing when they will begin to apply the pressure because remember, there is a lag between movements in the price of crude oil and movements in prices at the pump.
Curiously, nobody in the MSM is talking about Dr Copper puking its guts out:
The MSM is in fact in a pickle, because on the one hand they are still in "booming economy" mode, but on the other hand, they are slowly reading off of the new script, and they're putting the final touches on that script right now.
I think the script goes like this: Point to copper as proof of global recession in general and US recession specifically, and then point to copper as proof of the central bankers being able to successfully create inflation.
How does that script work into my various working theories?
Well, President Trump gets to be the Fall Guy for the US recession, and, quite frankly, he will be the Fall Guy for the global depression, and the central banks get praised for saving the global and US economies yet again.
Although I don't think it's going to work this time.
The VIX is spiking just as expected:
There is still a whole lot of week left to really bring on the fear as well, and remember, it's just-in-time for back-to-school.
And that is intended, in my opinion.
The stock market has totally been "sell the rate cut news" as expected:
If I'm right about the Deep State Globalists bringing max pain to America, the stock market decline is only getting started.
Yield on the 10-Year Note continues to fall as expected:
To think yield on the 10-Year was 3.2% not even a full year ago.
The dollar is being held in its allowable range as expected:
Dollar bulls still trading in these "markets" don't yet get what's coming, and they're about to be wiped-out.
What is the bottom line as we find ourselves on this beautiful Wednesday morning in early August?
Gold has broken-out above $1,500, and gold looks to have follow-through into the US markets.
Silver, however, is the monetary metal to really start watching as we close-out the week.
The cartel will clearly aim all of their firepower at silver to defend seventeen dollars.
Since they're making their last stand, please understand the significance of it.
The significance is a paradigm shift, and when it comes to $50 silver?
The technical analysts like to talk about "retracements" a lot.
I think silver is going to blow right by $50 very quickly.
And then "retrace" back down to that price level.
It is clear silver is going on the offensive.
And the cartel's defenses are weak.
The defenses will not hold silver.
The cartel will get over-run.
People'll say, "silver?".
"What is silver?".
They'll learn.
Too late.
Yes.
Stack accordingly...
- Half Dollar
 | About the Author U.S. Army Iraq War Combat Veteran Paul "Half Dollar" Eberhart has an AS in Information Systems and Security from Western Technical College and a BA in Spanish from The University of North Carolina at Chapel Hill. Paul dived into gold & silver in 2009 as a natural progression from the prepper community. He is self-studied in the field of economics, an active amateur trader, and a Silver Bug at heart. Paul's free book Gold & Silver 2.0: Tales from the Crypto can be found in the usual places like Amazon, Apple iBooks & Google Play, or online at PaulEberhart.com. Paul's Twitter is @Paul_Eberhart. |
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