Silver in 2020

Discussion in 'Silver' started by milled, Dec 28, 2019.

  1. milled

    milled Active Member

    Dec 4, 2018
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    In an opinion piece about PMs, investinghaven touts a few price spikes for silver this year

    "Silver...should be the ‘real deal’ in 2020. That’s because gold is leading the way higher for both gold and silver. We know from history that silver is slow at the start of a new bull market, it needs some warming up time. However, it accelerates over time. Initially silver shows a few spikes higher, and eventually takes over control to largely outperform gold.

    So there you have the answer to our question: silver has the most potential in 2020 provided you trade in and out in the same year. We believe silver will set one or two spikes in 2020. Timing the entries and exits will be crucial for success."

    "We consider our annual silver price forecast one of those important forecasts because of our track record in forecasting silver prices. According to our latest silver forecast we predict a new bull market. However, this is not a raging bull market, it is in an early stage in 2020 and might start picking up in 2021. Silver’s price has an upside potential of 30% ($22/oz) in 2020, and an upside potential of 65% ($28/oz) in 2021. That’s against prices at the time of writing around $17.50. The prerequisite is that silver’s COT report shows signs of a bull market, and that Pring’s inflation indicator picks up again. Our 2020 forecast for silver is mildly bullish while our 2021 forecast is wildly bullish with a big spike."


    In another opinion published on that site, the top investment areas for 2020 are given as:

    1. Semiconductors
    2. Dynamic software
    3. Computer hardware
    4. Medical devices
    5. Investment services
    6. Consumer finance

    Of this, in the touchscreen market, silver may see increasing application in computer hardware through touchscreens

    In another bullish opinion elsewhere, unfortunately one using weaker, more tired reasoning (GSR and elemental crust ratio):

    2020 Could Be a Great Year for Silver Prices
    Silver prices could soar a lot in 2020.{home}

    "The gray precious metal trades around $17.50 now, but by the end of 2020, it wouldn’t be shocking to see it trading around $25.77. That would be about 47% higher than the current price.

    Assuming that this ratio comes back to its historical average and gold prices remain the same at around $1,485, silver prices would have to surge to $25.77.

    But here’s the thing: 57.61 is the historical average. Since 1995 or so, there has been a pattern with this ratio and it shouldn’t be overlooked.

    It’s like clockwork. Every time this ratio reaches 80 or above, it drops down to around 45.

    In late 2018, the gold-to-silver ratio moved above 80 and it has been above that number since.

    Assuming we see the pattern play out again in 2020, wherein the ratio drops to 45 and gold prices don’t move, silver prices could soar as high as $33.00. That would be about 88% higher than the current price."
    sgbuyer likes this.

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