Something Amazing Happened In The Silver Market

Something quite interesting took place in the silver market last week.  There was a remarkable change in the dynamics controlling the silver market, indicating much higher prices to come.  In my newest video update, I explain the positive changes not seen since silver was racing up towards $50 in 2010-2011.

In my last video update, I stated that the silver price on the monthly chart needed to close on July 31st, above the $21 level, to remain in a BULL MARKET.  Not only did it close above $21, but it also closed near the highs of the day at $24.50.  However, there was a great deal of trading volatility, especially on Tuesday, when silver fell almost $4 in just a few hours.

I believe this huge $4 correction in just a few hours was likely initiated by Big Traders (Bullion Banks) to liquidate a portion of their short positions as the silver price was getting out of hand.  The evidence to prove this was shown in the new Silver COT Report, which reported a substantial decrease in the Commercial Net Short positions.

I explain what took place in my newest video, Something Amazing Happened In The Silver Market, and why I now see the silver price continuing to move higher in August:

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22 Comments on "Something Amazing Happened In The Silver Market"

  1. DisappearingCulture | August 2, 2020 at 6:17 pm |

    Thank you for a 9 minute video instead of a 30+ minute video!

  2. I’m confused when I look at “COT Report: SILVER – COMMODITY EXCHANGE INC. Futures Only Positions as of 2020-07-28”, I see that the Commercial short position only dropped 8182 to 107,882

  3. Constantine | August 2, 2020 at 7:12 pm |

    As much as I’d like to think that this is bullish for the silver market, I’m not tracking the logic. How do the bullion banks simultaneously cover shorts while ‘smashing’ the price. Short covering should have accelerated increases in price; right? Who’s doing the smashing? Though the price had been going up extremely fast beforehand, the fact that they could cover their short position without any appreciable change in the price does not sound good to me. What now keeps them from re-pressing their shorts that they somehow covered after somehow smashing the price beforehand.

    • I agree, covering a short position would be accomplished by buying which should influence the price upward.

    • DisappearingCulture | August 3, 2020 at 8:23 am |

      I heard a lower percentage of the shorts were the commercial accounts (big banks), and more of the shorts were large hedge funds.

  4. If silver’s price reflected how screwed up this planet is financially and politically it should be on its way to the frickin moon.
    Time to put on our spacesuits?

  5. TruthisYourRight | August 3, 2020 at 3:40 am |

    The rise of silver necessitates the decline of the fiat banknotes. This in turn makes it necessary for the criminal bankers to apply the Corona propaganda!

    Corona legislation is unenforceable in a court of law. Coronavirus is a fraud and is a suitable excuse to obtain consent from the simple people. Consent appears to be to the State, but is by necessity only.

    Consent is important to the criminals, who own the State, and lie for the MSM and alternative media. The consent is a visible form to which people conform, and which supports the Head of States promise to preserve the legal system.

    Without this artificial and false legal system then the criminals would be exposed to the full force of the common law, where going to jail would be inevitable and so would reparations to the people.

    Consent is withdrawn by returning State mail, Addressee Not Recognized, No contract. This legally frees you from contributing to their corruption.
    Reference: SOED, Blacks Law Dictionary

    • DisappearingCulture | August 3, 2020 at 9:19 am |

      If you don’t explain you comment “coronavirus is a fraud”, you come across as foolish and ignorant.
      The virus is real, and due to a variety of factors one may stay healthy, or recover completely, recover with permanent organ damage, or die.
      So what do you mean when you say it is a fraud?

      • Pig Infestation | August 3, 2020 at 10:57 am |

        The virus is indeed real, as are the over 3,000 other identified strains of Coronavirus. Every single year several hundred thousand people die of another type of Coronavirus, commonly known as Flu. In a bad Flu season up to 650,000 die of Flu globally. Never in history have governments around the world trashed their own economies for a Flu virus that kills only the most vulnerable and fortunately has a death rate of close to zero per million for infants and children.

        No vaccine exists to cure Flu or the common cold as there are different Flu strains and mutations. So why are governments throwing literally billions at unnaccountable big pharma to rush out a vaccine for Covid 19 that will break all previous, international regulations (as in years of testing before released for public use), and will not in fact cure Covid-19 for the simple reason that it will mutate? Why is a college drop out with no medical or any other science qualifications lauded as a Covid saviour (Bill Gates)? Why are so many deaths recorded as Covid when in reality the individual had a range of co-morbidities, so died with Covid rather than of it?

        So yes, Covid 19 exists but kills mainly the old and infirm. Protecting the vulnerable is the policy governments should have taken. Covid 19 is being used as a means to destroy our last vestiges of personal freedom. We are to be masked up sheep, herded into a Crypto currency as their next great monetary Ponzi scheme. We are to be bombarded with disease fear and fear of breaking absurd disease controls like mass mask wearing when it is proven science that a mask becomes quickly humid and just encourages disease growth and spread rather than stopping it. That is why surgeons and other medical professionals change masks frequently. Joe public often wear the same mask all day long.

        • I couldn’t agree more. It just seems like this whole sham of a pandemic or “shamdemic” as I like to call it, is to boil the frog (the masses) to accept a new financial system that is a cashless cryptocurrency with negative interest rates and less freedom for the individual so that these scumbag elites, who are illegal to name, can maintain control in a failing system that is declining in net energy due to the falling EROI of oil.

      • DC

        I initially got turned around by viewing this vid by Dr. Erickson and another Doc on YT back in April. Maybe a good start for you also. The fact that it was removed from YT was very telling as well. Tell me or us what you think.

        Led me to start researching all the tales that came out from morbidity rates to infection rates to age susceptibility, organ damage, vaccines, mask effectiveness etc. Exhausting. Really delayed my economics education!

        Generally it can be said conclusively that it’s mostly bs.

        No idea how possible it is to follow all this now as stuff gets taken down quickly even tho comes from impeccably credentialed people. However, people collect stuff and for all I know maybe contrary evidence has been collated even more effectively..

        NOT tin foil hat bs, I promise you.

        **-The fact that this obfuscation has happened is it’s own tell even if you think there is some core reality that is valid.

        And of course anyone can see it’s not worth closing economy over and the coming death toll from starvation etc. Much worse then covid.

        In future remember it’s a lot easier if you can follow links thru ZeroHedge etc as stories are happening, which allows some evasion of censorship. Don’t know how you missed it, as up on things as you usually are

        Do it. Let us know

  6. Thanks for a great report again. Do you think Silver and Gold will have a pullback before they continue upwards ?

  7. Sorry to ask a thick question.

    If traders are *liquidating* their short positions, doesn’t that mean they were closing them out? ie buying them back.

    Silver falling $4 would indicate a that more short positions were taken, not existing positions being liquidated.

    What am I not getting here?

    Thanks in advance to anyone who can explain this to me.

    • Alan Ford,

      This reply is for you, olegig, and Constantine. I have read and watched many trading videos by some pros who were in the business for decades. A BEAR RAID is a typical tactic to push the price lower.

      Please read: Sheared by the Shorts: How Short Sellers Fleece Investors

      When sell orders overwhelm buy orders, the price drops. The short sellers then buy the stocks back at the lower price and pocket the difference. Today, speculators have to drop the price only enough to trigger the automatic stop loss orders and margin calls of the big mutual funds and hedge funds. A cascade of sell orders follows, and the price plummets.

      In this case for the $4 Silver Smash, the PLAYERS (Bullion Banks) overwhelm the market quickly with sell orders. Then when the silver price drops to a targeted low area they start to BUY BACK, THUS LIQUIDATING THEIR SHORTS as the price moves up from $22 to $24. So yes, you are all correct that when the Bullion Banks buyback and liquidate shorts, the price moves higher.

      There is no coincidence that the BIG PLAYERS (Bullion Banks) used the more thinly-traded market to push the price down $4.

      That massive Daily Candlestick on Tuesday with the HUGE WICK on the top and HUGE WICK on the bottom with a very little body in the middle suggests this is exactly what took place.


      • Bear raids are often done during times when trading volume is light to have maximum effect. While silver trading is done worldwide, between 2AM and 3AM US eastern time is relatively light. Or sometimes a bear raid is done just before of just after a main market opens on a quiet day to try to set a negative tone for the market for that trading session.

        • NickP222,

          Agreed 100%. It seems to me that over the past 7 years, the Bullion Banks have been in control of the silver market by adding Net Short Positions slowly as the price trended higher. However, due to the fact that the fundamentals are improving significantly for silver, the price surged so quickly, the BIG PLAYERS (Bullion Banks) found themselves seriously underwater.

          Even though they Sacrificed some positions (and funds) to drive the price lower, they were able to Liquidate a substantial amount of the short positions at a much lower price. This is precisely why the daily price action was so volatile, DOWN BIG TIME, and then BACK UP CONSIDERABLY.


          • Right, got you. They push the price down in thin trading and THEN cover their shorts. Thanks for explaining Steve, much appreciated.

      • “when sell order overwhelm buy orders,….” Do they have to bleed some amount of real physical onto the market to accomplish this or is this 100% paper?

      • Constantine | August 3, 2020 at 4:00 pm |

        Thanks for that information. On the one hand, it’s frustrating to know how easily this thing is manipulated. On the other hand, after decades of this nonsense, these shenanigans may have provided us with one of the greatest financial opportunities in this lifetime. Silver, by any rational metric, should be valued well into the hundreds of dollars at this point. We’ll see how it plays out. At $24-25, people should be buying hand over fist. It’s also frustrating to know, however, that people are so naive that they’d buy things like the SLV, which clearly are just black holes, sucking up capital that would otherwise be causing the silver price to shoot into the stratosphere. Absolutely no way possible that they’ve actually taken physical delivery of all the silver that they have claimed in the last few months. For the time being, I think that some sideways movement in the silver market, could bode well for the longer term. We all know what happens to silver when it gets too parabolic. I think that the action of the last few days is quite healthy.

  8. Silver futures up to $26.16 as I type this (@1:08 PM). YAHOO!!!!!!

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