Monday, March 31, 2008

Good Silver Price Action

There was good silver price action today in the futures market.

Last Tuesday, silver gapped up in price from Monday. Usually this gap would be closed (prices would come back down to the bottom of the gap). That gap got closed today on this futures chart.

Much, much, much higher USD silver and gold prices will be brought to you courtesy of the Federal Reserve's banana republic rate of dollar creation.

Fancy digs for what is similar to a counterfeiting operation. And, unlike basic 'ol counterfeiters, the Fed gets a steady stream of interest payments from the US Treasury for the few minutes of work they do dancing fingers on a key board creating digital bits on a hard drive. Nice work if you can get it.

Despite the silver price going down today, it's good, normal, healthy price action. The gap got closed. It can go a tad lower even and still be good silver price action. Silver can now go to work going back up to make new highs.

"What? Me worry?" - Alfred E. Newman

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