Price peaks and troughs

Hi all

What makes silver price spike and then drop (rinse repeat)? I looked at todays chart and it’s nuts!

Does industry ring up a mine and ask for 4 tonnes of silver, resulting in a peak as demand has gone up, followed by…er is that it? And so it drops again?

Just curious to know what causes the erratic graphs.

Often it is a reaction to other metals like Gold or Copper. 
Watch either ine and you will know minutes away what silver will be doing

Here you can look at this link which gives you All time and certain dates as well. It is a great resource to collecting data for when Gold or Silver has moved. You then should look at Key events on another google search for that year to determine what might have caused it. Even down to the month or months up to that shift. 
https://www.gold.co.uk/silver-price/silver-price-history/

Exchange rate fluctuations, big mining breakthroughs, silver short and long term commodity contracts being traded, the silver price being manipulated, economic announcements, supply/demand imbalances, technology breakthroughs (affecting demand both positively and negatively), the ups and downs of other commodities in comparison...all sorts!

The historical long-term GSR (gold to silver ratio) is very interesting to think about and there was a very good video I watched recently (though sorry I forget where) that had it at less than 20:1, mainly influenced iirc by the ratio when it was still used as money. But look where it is today! I'm not a trader but I do believe the GSR is still traded, and I know stackers who do this themselves - move one position into the other when it's favourable to what they hold and move back later if an opportune moment arrives.

There is so much to it, that is why we have so many people who make a living (and have made fortunes) just analysing it for investors/stackers at various levels!

kimchi wrote:Exchange rate fluctuations, big mining breakthroughs, silver short and long term commodity contracts being traded, the silver price being manipulated, economic announcements, supply/demand imbalances, technology breakthroughs (affecting demand both positively and negatively), the ups and downs of other commodities in comparison...all sorts!

The historical long-term GSR (gold to silver ratio) is very interesting to think about and there was a very good video I watched recently (though sorry I forget where) that had it at less than 20:1, mainly influenced iirc by the ratio when it was still used as money. But look where it is today! I'm not a trader but I do believe the GSR is still traded, and I know stackers who do this themselves - move one position into the other when it's favourable to what they hold and move back later if an opportune moment arrives.

There is so much to it, that is why we have so many people who make a living (and have made fortunes) just analysing it for investors/stackers at various levels!

Sounds like witchcraft to me! I can understand rates going up and down for various reasons, but it’s the spikes that fascinate me. To see a price jump and drop again 30 seconds later seems like trader market manipulation shenanigans to me. Or perhaps I have too much granularity in the chart I am using and I should “zoom out” to a longer timeframe to smooth out the spikes?

Anyhoo, the silver price dropped to £17.20 around 4pm today, so I jumped on some coins.

ArcaneCollector wrote:

Sounds like witchcraft to me! I can understand rates going up and down for various reasons, but it’s the spikes that fascinate me. To see a price jump and drop again 30 seconds later seems like trader market manipulation shenanigans to me. Or perhaps I have too much granularity in the chart I am using and I should “zoom out” to a longer timeframe to smooth out the spikes?

Anyhoo, the silver price dropped to £17.20 around 4pm today, so I jumped on some coins.

It pretty much is (mainly manipulation, and witchcraft LOL).Yes you'll need to get good at making your own charts (high and low resistance points being tested, etc) or following those who do, and trust.

Well done! I missed the dip so I am jumped on my neighbour's cat (by mistake of course  )

Not everyone holds with the manipulation theory but I do, over the last decade if you bought silver just before the markets close on a Friday and sold a few hours after they open on a Monday you would have made a fortune. They smack it down just before the markets close and it bounces back on the open. Silver is such a tiny market and the world is so awash with currency nowadays it's easily manipulated with paper ETFs. It's impossible to get away with this forever though and one day the riggers will zig when they should have zagged and will lose their grip, we just have to sit tight until that day comes.

Rod Panhard wrote:Not everyone holds with the manipulation theory but I do, over the last decade if you bought silver just before the markets close on a Friday and sold a few hours after they open on a Monday you would have made a fortune.  They smack it down just before the markets close and it bounces back on the open.  Silver is such a tiny market and the world is so awash with currency nowadays it's easily manipulated with paper ETFs.  It's impossible to get away with this forever though and one day the riggers will zig when they should have zagged and will lose their grip, we just have to sit tight until that day comes.

Very interesting thoughts and observations, thanks Rob!

I think a lot of folks see 'silver manipulation' as a box on the 'conspiracy theory stacker/prepper' bingo card, but it really is worth looking into oneself and drawing one's own conclusions. J. P. Morgan are a good starting point.

One confusing thing for silver for me is the historical average GSR (when silver was used as a large part for money) compared to today. Silver looks very cheap (and I would say it was, very cheap, while we could still get it VAT-free from Europe) but are we just taking a punt on it now when we don't know what the industrial applications will be in future? In the interests of provoking discussion, is there firm evidence or do folk hold strong opinions that it will continue to be in demand in the future?

kimchi wrote:

Rod Panhard wrote:Not everyone holds with the manipulation theory but I do, over the last decade if you bought silver just before the markets close on a Friday and sold a few hours after they open on a Monday you would have made a fortune.  They smack it down just before the markets close and it bounces back on the open.  Silver is such a tiny market and the world is so awash with currency nowadays it's easily manipulated with paper ETFs.  It's impossible to get away with this forever though and one day the riggers will zig when they should have zagged and will lose their grip, we just have to sit tight until that day comes.

Very interesting thoughts and observations, thanks Rob!

I think a lot of folks see 'silver manipulation' as a box on the 'conspiracy theory stacker/prepper' bingo card, but it really is worth looking into oneself and drawing one's own conclusions. J. P. Morgan are a good starting point.

One confusing thing for silver for me is the historical average GSR (when silver was used as a large part for money) compared to today. Silver looks very cheap (and I would say it was, very cheap, while we could still get it VAT-free from Europe) but are we just taking a punt on it now when we don't know what the industrial applications will be in future? In the interests of provoking discussion, is there firm evidence or do folk hold strong opinions that it will continue to be in demand in the future?

I personally believe that silver is massively undervalued and there are huge efforts made to keep it that way probably due to it's history as the common peoples money. The same applies to gold but to a lesser extent because it has history as the elites money. In order to promote FIAT and mainly the US Dollar you can't have what was once money showing it up. i believe silver will one day correct to nearer what it should be and will rise nicely, just about every commodity is up nowadays other than silver it's still half it's all time high but I don't hold with the "too the moon" or the "one to one with gold" narratives that some of the silver pumpers are peddling. There are other technologies like graphite based that can match silver for conductivity and if silver went above a certain price these would then become economically viable which currently they are not because silver is so cheap,