Levon Resources Ltd (New) V.LVN

Silver/Cordero

[RogueWolf]

As Treb pointed out this is a simply amazing silver play......markets are sour at the moment but I think within a month they should have turned around.

This brings me to an interesting conclusion that I had completely overlooked in my initial analysis.

Silver at the moment is completely undervalued relative to gold......the US fixed the gold standard way back at 15.5 : 1 silver/gold and then later augmented it to 16 : 1.  This is interesting as gold is currently at 1809 and silver at 40....this puts us at 45.22 : 1. 

Silver is the only metal currently in use as both a store of wealth and as an industrial metal.  Emerging economies will add buying pressure on the metal for their industries....and when there is a sharp glut on buying gold....silver tends to spike higher and outpace gold.  This coupled with the fact that worlds silver contracts can not all be met right now because production can not keep up.  I couldnt find the article but I believe it was around 350 million ounces of silver can only be accounted for on paper currently...if the contracts were to be called in the metal would shoot through the roof.

In a nut shell, silver is undervalued.  If you go by the way it should follow gold we could approximate 113$/oz right now...and dont forget that silver always outperforms gold in bull markets.  Between 1971-1980 it rose about 3700% to golds 2400% between 1971 and 1982.

We are just on the cusp of the biggest bull market in metals we have ever seen.  The value of all the silver in the ground should be worth a lot more when it comes time to sell this.  I was merely doing a TA but when I threw a little FA in this one just started shining a lot brighter.

Long on LVN,

Rogue,