Everyone seems to be focused solely on gold. With military tensions, a mess of geopolitical issues and record-setting national debt, it is easy to understand why news outlets and traders have forgotten about silver.
Over the last year, gold has outperformed silver. Historically speaking, silver tends to lag behind and rallies six to 12 months after gold. At the time of writing, the gold-to-silver ratio was resting at 87:1, which is close to its highest ratio in over 25 years. History tells us that silver should approach the 60:1 ratio very quickly, if not this year.
The result of silver reaching that ratio would be a 44% increase.
Due to the under-performance of silver recently, we strongly believe silver is setting up a massive basing pattern. Every time gold broke out of the sideways patterns and moved higher – as it recently has – silver followed gold five to 12 months later. In 2005, silver rallied 102%. In 2009, silver rallied 425%. Here we are in 2020. Could silver rally 100%? 400%? More?
Gold looks identical to these previous rallies. Both then and now it moved due to economic and global concerns and prompted a massive disparity ratio between gold and silver. If silver follows its same historical pattern, it is setting up an enormous run and we have a narrow window to take part in this incredible opportunity.
Remember this: wealth doesn’t disappear. Wealth simply transfers from one asset to another. Gold and silver act as wealth insurance because they have an inverse relationship to the market. Nearly all financial economists and experts express the importance of placing 10% of all personal wealth into gold and silver as insurance. Personally speaking, I have positioned myself much higher than 10%.
Record high stock markets inversely mean gold and especially silver are currently undervalued. It’s not too late to talk to us about adding gold and silver to your client offerings. We are here to assist you with everything you need to position your clients well.Silver in Position