Silver has lagged gold over the last month, but usually will outperform gold by a factor of 2 to 4 times in an uptrend, and drop faster than gold by 2 to 4 times in a downtrend. Since silver can be considered a hybrid metal, as both an investment metal and an industrial metal, this explains why while silver has not fallen while other industrial commodities have plunged. A new buy point in silver is at intermediate high of 41.19 in SLV. Keep in mind that should the stock market have another meltdown, the price of silver would get hurt more than the price of gold. So always keep your sell stops in line with your risk tolerance levels, and position size accordingly.
The information contained herein is for educational purposes only and is not, and should not be construed as an offer to hold, sell or an offer to buy any securities.
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