It is specifically to do with silver being a supressed market, in an inflationary environment (in that country). Not sure I agree with it, but he does explain it well. Fast forward to 8:42 [youtube]http://www.youtube.com/watch?v=xAc5f3mIa00[/youtube]
It is hard to take data and make a comprehensive conclusion, we all have our perspectives. He mentions some things that would imply bias towards a particular mistrust of stocks. But I apreciate the info even though he doesnt mention Asia at all, which is where I think the weakness started. One thing it did highlight for me is that the graph is showing both greed and fear but in different places. I suspect the Japanese crisis prompted a fear responce (moving out of stocks into metals) and then a greed responce causing it to become over bourght, which seems to have induced a sell off leading to a fear responce and a further sell off. Im still expecting silver to come down as low as $36 AUD (but wouldnt be surprised if it was exagerated to an over sold $32.... My stock portfolio is going to look bad for a time i suspect, untill the PMs continue their march. What do you guys think?
Agreed. It has been nice seeing green for months in the silver stocks but a couple of red days was expected. In 12 months we will be laughing.
