three to six months of banding action

[neilgin1]

watch...for the next 3 to 6 months, we will be range bound in silver.....18 to 22.

on the gold/silver ration....gold will flip around from 70-1 to 50/55-1.

that's what I see, barring of course, some macro implosion, which probably will originate in China.

ps...if anybody has any charts that would either buttress that or refute that, I would sure would appreciate the knowledge base.

[68Camaro]

The big unknown is whether a real shortage in physical is imminent. Some are claiming that the outflow of physical to both India and China have been stupendous and is just accelerating, and that is extending even to silver - what with India making it difficult to buy gold some there are now switching to silver. If that data is real they alone are buying far more than can be produced and that could blow PMs off the chart sooner that a TA would suggest.

[neilgin1]

The big unknown is whether a real shortage in physical is imminent. Some are claiming that the outflow of physical to both India and China have been stupendous and is just accelerating, and that is extending even to silver - what with India making it difficult to buy gold some there are now switching to silver. If that data is real they alone are buying far more than can be produced and that could blow PMs off the chart sooner that a TA would suggest.

really?...I believe you. Gosh, I haven't seen anything about this.....yeh, if that's the case.....watch out.

[68Camaro]

Take it with a grain of salt, but...

http://kingworldnews.com/kingworldnews/ ... horts.html

There seems to be evidence that Indians are turning to silver as an alternate to the now (for them) difficult to get gold because of new Indian government regulations designed to try keep Rupees from flowing out.

Sprott is quoted:

I just read some data on India. It said that India, last year (in the) first five months, imported 1,900 tons of silver. So far this year they have imported 2,400 tons. Now to understand the significance of this I have to tell you that the amount of tons (of silver) mined (annually) is 25,000.

At 2,400 tons in the first five months, you are basically talking at least 5,000 tons (of silver) for the whole year. That would be 20% of the world's (annual) silver production. And this is not going into industrial uses. This is going into savings (for investment purposes).

And there is only a certain percent of the silver market, which can go into savings because a lot goes into industrial. But here is the 'piece de resistance,' they said (India) imported 720 tons in April (annualize 8,000 tons). In May it went to 900 tons, annualized call it 11,000 (tons). We're going from 1,900 tons (of silver Indians were purchasing) to 11,000 tons, in a 25,000 ton market. That's impossible. There's not that amount of silver available for investment.

[Engineer]

It wasn't too long ago that I heard the Mexican mints were having trouble sourcing silver...which is kind of like Saudi gas distributors having trouble sourcing refined petroleum.

Premiums may be high, but I keep wading in deeper with every drop.