Guanajuato Silver Company Ltd V.GSVR

Not Here To Call PM Top

[ErinBrockovich]

Many believe we are in a bull run for PM. I do. There is little confidence in when the cycle will peak. I think it will last up to 3 years this time. Formulate your plan. Don't worry about calling the top for the market or your PM stocks. 

@littleowl @bedrag & @lexcon I think we need to make a distinction here between a cyclical, secular and generational bull market. We are nearing the top of a multi-decade (since the early 80s) generational bull market in the general stock market which may occur later this year or early next IMO. Don't think that it will end in market crash a la 2008-2009 although it could. For the precious metals however we STARTED the new generational bull market around 2000 so we should have a few more years to run probably at least to the end of this decade. Michael Oliver stands head and shoulders above the crowd for calling bottoms and tops before they happen based on his outstanding momentum method so it would make a lot of sense to heed his call when he does. However this has not occurred yet and his opinion of a top next year is just a rough guess and not supported by his data. If history is any guide there are 3 things that happen at or near the top of a generational bull market in precious metals: 1) The price of Gold reaches a number where the value of the United States Gold reserves equals the Federal Debt Held by Foreign and International Investors. That number today stands at around $30,000 per ounce. 2) The Dow to Gold ratio reaches around 1-2 and 3) The Gold to Silver price ratio roughly equals the Gold to Silver mining ratio. We are still about one order of magnitude from any of those 3 events.