evilwebby

Don't know if this has been posted before, but worth a read. It's known and has been mentioned on here before that there has been a super high concentration of shorts in the silver markets for a very long time now. http://www.moneyweek.com/file/28810/why-th...et-to-soar.html "Perhaps the foremost analyst of the silver market today is Mr Theodore Butler. He believes that gold and particularly silver are the laggards in the commodity complex due to price manipulation. At over 300 million ounces, the largest 8 traders on the COMEX are short more silver bullion than exists in total known world inventories, including total SLV holdings and total COMEX inventories. Butler sums it up succinctly, ”If there is one thing that separates silver from any other asset class, or any other item in any asset class, it is the presence of an unprecedented concentrated short position in COMEX silver futures. It is the existence of this concentrated short position that will, at some point, launch the silver price to the heavens. This short position has grown so large, and is held by so few entities, that it no longer matters how it will be resolved. It must be resolved and, whether that resolution involves default or buying by short covering, it will have the same bullish impact on price. You don’t have to look any further than the concentrated COMEX short position as to why silver has not outperformed every other commodity. Just as it explains price under performance, it is telling you why there must be overperformance in the future. At some point, the price of silver must accelerate upward to price levels that are truly shocking."

Well, maybe I'm just talking my position here as I'm currently short on crude, but it's my observation that when something hits headline news it is normally a pretty good sign that we've reached or are very near to a short term peak. The technical case for a correction in crude oil is getting stronger and stronger. RSI has just entered the 70+ zone, from which it has always corrected. This week was MAJORLY bullish for crude. We had Iran, Palestine, Korea all flaring up, and midweek crude inventories were way down on expectations. War or no war, prices will not go up in a straight line. I heard the same arguements by the Gold bulls when gold was $700+. We'll may see $100 oil eventually and even higher, but $65 first.