Silver busted the $30 mark with authority yesterday, and continued it’s rise beyond $30.50 today. As of this writing the shiny metal has corrected slightly to below $30. There does not seem to be anything out there that will stop the metoric rise of silver, or precious metals for that matter.
Something has just happened as the metals seemed to be correcting intraday. There have been no news updates, but gold is down $16, silver is down .34, platinum down $24 and palladium down -34 after reaching highs for the day during early trading.
Whatever caused this intraday correction should prove to be short lived. The attempt to keep the metals down has not seemed to work up to this point, and with Bernanke recently prepping America for the possibility of more QE in the future, metals do not seem to have a top.
If, rather when, silver breaks $32, the next resistance level will be $48. This does not seem too far fetched with the current state of the global economy.
The tax cuts in America will get extended, and umemployment benefits will continue for those that are not working. Any benefit from the tax cut extensions will be washed out by the unemployment extension. The tax cuts were designed to encourage business’s to invest back in their companies and hire more staff, in turn, improving the economy. The unemployment extensions are merely a way to buy more time to prevent social disorder. But three years of unemployment benefits and lower wages are not enticing pseudo Americans to go back to work. And what business owner is going to want an employee that has gotten used to living off of $300 a week, and has not done much for the last three years.
The world is starting to see through the smoke and mirrors now and seem to know that metals are the universal currency. This makes a high unpredictable as the masses begin to convert their cash reserves in to precious metals