Positive Silver Set-Up

Written by Dan Ameduri of Future Money Trends

Dear Reader,
 
The commercials’ short position on silver is lower than it’s ever been!

3 months ago, they had a short position worth over $3 billion! As of the most recent COT report, it’s under $350 million.

I haven’t seen anything like this since 2001.

 

To top it off, we have the silver-to-gold ratio at 82-to-1, which is about as extreme as it’s ever been.

JP Morgan is also preparing for an imminent rise in the silver price, with a record physical hoard.

The dumb money, managed by hedge funds (95% of whom fail to beat the returns of the S&P 500 over a 10-year period), is actually showing a record short position in silver, which is incredibly bullish for precious metal investors.

To be clear, the dumb money is at a record short and the smart money is at a record low for their short exposure to silver.

In my experience, any time you see this, it’s essentially a guaranteed set-up for an explosive move to the upside. Of course, nothing is guaranteed with investments, but I do have to point out that silver is a screaming buy right now.

Recommendation: As a trade, consider iShares Silver Trust (SLV).

For longer-term speculators, now is a great time to pick up some physical silver from our friends at MilesFranklin.com.

 

We also plan to accumulate more shares of the purest silver producer on earth: First Majestic Silver (NYSE: AG).

 

Best Regards,

Daniel Ameduri
FutureMoneyTrends.com

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