Return of QE provides low risk buying opportunities in Gold and Silver

Impending QE makes gold and silver a low risk high return buying opportunity

Big 4 Central Banks lining up for QE at their policy meetings

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With the Central Banks already having added $6 tr in money printing, they are set to print for even more more years given the lackadaisical state of Euroland and US purchasing power which is threatening to blow off. Everyone is looking back to the U.S. Federal Reserve, European Central Bank , Bank of England and Bank of Japan to stabilize the situation once more. And more quantitative easing is definitely up for grabs as it gets back on the agenda for all their upcoming policy meetings. This provides us with low risk entry into the precious metals markets.

If QE is delayed any further then the world will be stuck with a wave of banking holidays starting with the top 9 Banks in the United States through the plunging OTC derivatives contracts

This clearly means that money printing is very positive for both gold and silver.

Get gold and protect yourself

If you want to leverage off gold try silver

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Disclaimer: The views expressed in this article are entirely my own and do not reflect the views of my employer. This report is neither an offer nor a solicitation to purchase or sell securities. The information and views expressed herein are believed to be reliable, but no responsibility (or liability) is accepted for errors of fact or opinion. Writers and contributors may be trading in or have positions in the securities mentioned in their articles. Neither or myself accepts any liability arising out of the above information/articles.

Vinit Bolinjkar Head of Research, Ventura Securities Ltd

Tel: | Mobile: 0 9730836363

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Tiny silver to take on mighty gold?

Silver at $37 taking on mighty gold at $1788 sounds a little preposterous. But eventually in our own life time or perhaps as early as in this decade itself silver will be rubbing shoulders with gold in price levels. I would expect this to happen even much sooner than that as the shortages of silver begin to bite.

The following presentation Why silver is the best investment over the next decade is a treatise on the history of silver, its demand supply and pricing and where it is expected to go.

The following picture shows the movement of silver which I expect to happen over the medium term and long term.

Silver price movement on basis of Elliot wave

Silver price target of $140 -400 on basis of Elliot wave perspective

One would wonder – “if all this is known to the market then why would the price is not up in the clouds already?” Th easnwer lies in the suppression of the silver prices by mighty western bankers whose very bane is going to be silver itself. The following chart shows what the long term price implications of silver are.

Silver all set to take off

Silver log chart shows dizzy silver prices in the long term

QE to infinity could well mean silver would rally to infinity
We all know that the OTC derivative contracts are all bleeding the western banks and that the Fed will do whatever it takes to ensure that these banks stay afloat. Even if it means indulge in the printing press till we all run out of forests to print paper. The more we print; a la Zimbabwe is the outcome. Rising silver prices is the only protection against the certainty of hyperinflation.

Download link Why Silver is the best investment over the next decade

Vinit Bolinjkar Head of Research, Ventura Securities Ltd

Tel: | Mobile: 0 9730836363

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