Wednesday, March 21, 2012

Hubert Moolman: A Massive Spike In The Price of Silver Is Imminent

Fractal Signs' Hubert Moolman believes the mania phase of the precious metals bull market is near.  While there is no doubt that the public is gradually awakening to gold and silver, we believe the mania blow-off phase is still several years away.

Gold and silver are very close to entering the mania phase of this bull market. In order for gold and silver to go into the mania phase, value has to be diverted from somewhere, and that “somewhere” is most likely stocks. Since 2000, there has been a correction in stock values, in real terms; however, nominally, stocks are still significantly high (close to its all-time highs). I expect that significant value will soon be diverted from the general stock market, to silver and gold, causing prices to rally significantly, until these metals also become overvalued.