You’ll Never See Another Set-Up This Good for Silver
The commercials’ short position on silver is lower than it’s ever been!
3 months ago, they had a short position worth over $3 billion! As of the most recent COT report, it’s under $350 million.
I haven’t seen anything like this since 2001.
To top it off, we have the silver-to-gold ratio at 82-to-1, which is about as extreme as it’s ever been.
JP Morgan is also preparing for an imminent rise in the silver price, with a record physical hoard.
The dumb money, managed by hedge funds (95% of whom fail to beat the returns of the S&P 500 over a 10-year period), is actually showing a record short position in silver, which is incredibly bullish for precious metal investors.
To be clear, the dumb money is at a record short and the smart money is at a record low for their short exposure to silver.
In my experience, any time you see this, it’s essentially a guaranteed set-up for an explosive move to the upside. Of course, nothing is guaranteed with investments, but I do have to point out that silver is a screaming buy right now.
Recommendation: As a trade, consider iShares Silver Trust (SLV).
For longer-term speculators, now is a great time to pick up some physical silver from our friends at MilesFranklin.com.
We also plan to accumulate more shares of the purest silver producer on earth: First Majestic Silver (NYSE: AG).
This work is based on SEC filings, current events, interviews, corporate press releases and what we’ve learned as financial journalists. It may contain errors and you shouldn’t make any investment decision based solely on what you read here. It’s your money and your responsibility. The information herein is not intended to be personal legal or investment advice and may not be appropriate or applicable for all readers. If personal advice is needed, the services of a qualified legal, investment or tax professional should be sought. We own silver and First Majestic Silver, both our longterm positions. We do have a business relationship with First Majestic Silver, receiving twenty five thousand options for twenty eighteen marketing, as well as thirty thousand dollars cash for digital marketing. Always remember, we are not advisors, and have no idea what your current financial situation is. Never invest what you can’t afford to lose completely, and never base any decision off of our emails.