The Dash For Cash

Everyone’s scrambling for cash … but it’s ‘fiat cash’, they want.

Debts are paid with fiat cash. Food is bought with fiat cash. The local coin shop or pawn shop runs on fiat cash.

Or to be more accurate these days, ‘credit’ or ‘debit’ fiat cash.

The ‘Squeeze’ of 2021

Before getting to the chart (below), let’s go back to the ‘squeeze’, February of ’21; labeled as ‘Remember This?’

Back then it was hysteria just like now.

If you remember, the little guy was going to ‘put it to da man’; force their hand to admit there wasn’t enough physical to cover demand, yada, yada, on it went.

So, what really happened?

Well, the SLV ETF, (proposed or) changed its rules of silver allocation, that’s what happened. 🙂

Sorry Charlie, no silver squeeze this time.

These two posts covered the crowd delusion (and price action) fairly well; links here and here.

Is this time any different? Let’s go to the chart.

Silver SLV, Weekly

A prior update, link here, said that silver SLV, was at, or near a measured move target.

Still true; however, it didn’t make it there exactly. So, technically speaking, the target’s still in play.

Probably more important, is what we have now.

At the right side, we can see SLV, price (net) distance traveled is becoming shorter.

While that’s happening, commitment to that move, Force Index, is now bearish divergent (not advice, not a recommendation).

Industrial Metal

While the kabuki theater known as rabid silver and gold bulls, continue to run amok, we have more and more evidence the economy is in full-blown decline.

By this time, referencing ‘official’ statistics, needs to be considered a ‘blue pill‘ move. It’s not reality.

So, here are just a few links, boots on the ground truth; here, here and here.

Half of silver produced is used in industry.

If the economy (industry) is contracting, would not silver do the same?

Stay Tuned

Charts by StockCharts

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The Danger Point®, trade mark: No. 6,505,279