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Clive Maund: Silver at 1/80th the Price of Gold? “This Is Crackers!”

Clive Maund  ( Original )
FEB 20, 2018

Consider silver's relative scarcity to gold. No doubt, much more abundant, much more widely available. And shouldn't that ratio have some general bearing on the price discrepancy between the two?

Here are some insights on the silver price relative to gold from a senior economic geologist that are certainly worth serious consideration:

A VERY SERIOUS ANOMALY HAS ARISEN WITH SILVER - WAIT FOR IT:
SILVER AT US$ 16.75 IS NOW 1/80 OF THE GOLD PRICE AT US$ 1367 / OUNCE - THIS IS CRACKERS!
GOLD'S GEOCHEMICAL ABUNDANCE IS 4 PARTS PER BILLION
SILVERS GEOCHEMICAL ABUNDANCE IS 75 PARTS PER BILLION
THEREFORE, SILVER IS ROUGHLY 20 TIMES MORE ABUNDANT THAN GOLD

THEREFORE, IF THE MARKETS VALUED SILVER AT ITS GEOCHEMICAL ABUNDANCE RELATIVE TO GOLD, THE SILVER PRICE SHOULD BE US$ 67 / OUNCE OR 4 TIMES THE PRESENT PRICE!!

Investing in precious metals is a long-term strategy. Their predictable, reliable role as a store of value is immune to the spasms and upheavals in risk asset markets. Likewise, accumulation phases in gold and silver can play out over the course of years in preparation for generational bull markets.

A key bullish point to observe on this chart is the steady volume buildup over the past 2 years, which is a sign that it is building up to a major bull market. This hasn’t had much effect on volume indicators so far, but such is not the case with gold, where a more marked volume buildup has driven volume indicators strongly higher so that they recently made new highs, which bodes well not just for gold, but obviously for silver too.

ORIGINAL SOURCE: Silver Market Update by Clive Maund at Clive Maund on 2/20/18