Silver Passes 30% YTD As Catch 22 Economic "Updates" Becomes Blurry

Tyler Durden's picture




 

The economic data keeps coming fast and furious, with Consumer Confidence just printing at a blistering 70.3 on expectations of 63.0, up from 61.5? Why? Because crude is approaching records and gas is $5? No - because the market is up of course on trillions in liquidity. So confidence is up because the market is higher, and the second the higher than expected confidence number prints, the market is higher on that alone. Catch 22 FTW, and it is not alone - every other confidence-based indicator in the past 3 months has beat! Because human beings, indoctrinated to only care about nominal gains, really are that dumb - something well known and appreciated by the central bankers. In other news, we joked before it printed that the Richmond Fed would come several standard deviations above the consensus. Sure enough, the actual print came at 20, naturally far higher than the average estimate of 14, and in fact above the highest estimate of 17. The good news: silver has just hit a 30% YTD return.

 

Richmond Fed distribution estimate and the actual print.

And silver:

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Tue, 02/28/2012 - 11:15 | 2203814 ThatGuyEhler
ThatGuyEhler's picture

Wait for it, wait for it..... silver, bitchez!

Tue, 02/28/2012 - 11:17 | 2203828 maxmad
maxmad's picture

all shiny metals, bitchez!  For shiny happy people!

Tue, 02/28/2012 - 11:21 | 2203842 Mr Lennon Hendrix
Mr Lennon Hendrix's picture

$36 is the holding number on the charts.  If $36 breaks authoritatively, we should see $42 soon.

If you own a lot of silver and your price point is much lower (like mine) I would not recomend buying here (I won't).  But if you do not own much silver then you might as well get in the boat.

I loaded up in late December (as I am sure people may remember because I wrote I was buying silver "with both fists").  If you already own a lot of PMs, platinum and gold are better buys here pricewise, especially platinum.

Tue, 02/28/2012 - 11:22 | 2203857 maxmad
maxmad's picture

nice-pat yourself on the back.... But most of us on here, bought 5+ years ago....

Tue, 02/28/2012 - 11:24 | 2203874 TalkToLind
TalkToLind's picture

Solidarity, brother.  If Hendrix is stacking that means someone else is holding the FRNs.

Tue, 02/28/2012 - 11:30 | 2203907 maxmad
maxmad's picture

True dat!  Hence the reason why Hendrix, shouldn't be so concerned with telling people what levels to buy at... Anything under $500 is a steal!  Just keep stacking. bitchez!

Tue, 02/28/2012 - 11:39 | 2203938 Mr Lennon Hendrix
Mr Lennon Hendrix's picture

Mr Max, I am just trying to give mho on the technicals.  I would encourage everyone to BUY SILVER.

Tue, 02/28/2012 - 11:43 | 2203959 AL_SWEARENGEN
AL_SWEARENGEN's picture

How long before the Cocksuckerz over at the CME raise margin requirements??

Tue, 02/28/2012 - 11:47 | 2203970 Mr Lennon Hendrix
Mr Lennon Hendrix's picture

Those cunts will probably raise them when gold is back at its nominal high.

Tue, 02/28/2012 - 12:25 | 2204182 mick_richfield
mick_richfield's picture

You can only play that card so many times, before nobody cares.

Silver is already so out of line, margin-wise, with everything else in Known Space, that people who like to play on margin are all doing something else.

Tue, 02/28/2012 - 13:05 | 2204383 Transformer
Transformer's picture

Hendrix,  What is this boat thing, that people write about here all the time?  Loading up the boat, boating accident, yada yada?  Are you all wankers?

Tue, 02/28/2012 - 13:28 | 2204458 The Swedish Chef
The Swedish Chef's picture

No, just lousy sailors..

Tue, 02/28/2012 - 14:01 | 2204556 pupton
pupton's picture

Transformer,

Yes, we are all wankers.  We all had "an unfortunate boating accident" whereby our precious metals fell from our wrecked boat and into the bottom of the sea/lake/river, never to be recovered.  (Thus, if a government agent comes to your door demanding to tax or confiscate said metals you will have to tell them the sad tale of seafaring misfortune and hope they leave peacefully.)

Now me, I don't have a boat and never have.  Hell, even if I did, I would never be stupid enough to bring valuables on a boat knowing there's a chance of "an unfrotunate baoting accident". 

Nope, I gave all my precious metals to a homeless man as an act of charity.  Didn't catch his name and never saw him again...but he did mutter something about using it to buy a boat though...

 

Does that answer your question?

Tue, 02/28/2012 - 14:08 | 2204594 A Nanny Moose
A Nanny Moose's picture

The first rule of boating accidents is...

Tue, 02/28/2012 - 15:38 | 2205129 TruthInSunshine
TruthInSunshine's picture

Thanks for that lesson.....errrr....story, pupton.

It was heart warming.

Tue, 02/28/2012 - 12:24 | 2204177 JPM Hater001
JPM Hater001's picture

"How long before the Cocksuckerz over at the CME raise margin requirements??"

In 5...4...3...

Tue, 02/28/2012 - 15:14 | 2204964 peekcrackers
peekcrackers's picture

Let the pole smokers.. hike it .. The printing press is going to have to come to stop with this fake bunk money soon.. Au Ag is the real deal .

Tue, 02/28/2012 - 11:30 | 2203908 SHEEPFUKKER
SHEEPFUKKER's picture

Yeah, no need to bash.  If you have a job, then you get paid in FRN's or some other worthless piece of paper, so we should all be continuously trading fiat for PM's.  Great if you bought at 5$, but keep stacking..... 

Tue, 02/28/2012 - 11:35 | 2203923 tekhneek
tekhneek's picture

Just buy a portion of your paycheck every payday.

$2 of silver for every $1 of gold while the ratio's still this wack, bitchez.

I've been buying 90% junk lately. Sells for a 15-20% premium on eBay. Hand over fist dollars, bitchez. Acquire more, rinse repeat.

Tue, 02/28/2012 - 11:45 | 2203968 gwar5
gwar5's picture

Not to plug anything, but you can still get bags of junk silver at, or near, spot at a couple of sites, eg., onlygold.com

 

 

Tue, 02/28/2012 - 11:50 | 2203987 tekhneek
tekhneek's picture

Indeed! Thanks for the link.

My dealer actually gives me a pretty sweet deal on it. Usually it's at spot, sometimes a bit over but nowhere near what an ASE is or any other bullion products.

Tue, 02/28/2012 - 12:29 | 2204201 mick_richfield
mick_richfield's picture

That's because you're cute.

My dealer makes me kneel with my hands behind my head and cross my ankles behind me, then slowly reach into my pocket with two fingers and throw the money onto the floor near him.

I don't get out much.

Tue, 02/28/2012 - 13:42 | 2204498 tekhneek
tekhneek's picture

Mick,

I'm a dude... and you're forgiven.

Tue, 02/28/2012 - 14:03 | 2204566 pupton
pupton's picture

You may also want to try the "nucleo exchange" on bulliondirect.com

Tue, 02/28/2012 - 14:03 | 2204569 mick_richfield
mick_richfield's picture

Sorry.  No offence.  It's just so hard for me to tell with humans.

I see you all as really slow-moving splotchy infra-red shapes, with kill-probability graphics superimposed in my visual field. 

I hope it doesn't mean I'm a bad person.

Tue, 02/28/2012 - 13:24 | 2204446 Abitdodgie
Abitdodgie's picture

What is a "Paycheck"

Tue, 02/28/2012 - 14:05 | 2204576 mick_richfield
mick_richfield's picture

It's the thing I'm supposed to be working for right now.

Tue, 02/28/2012 - 11:41 | 2203929 TruthInSunshine
TruthInSunshine's picture

I placed an ad in CL offering to pay anyone $10 an ounce to dig silver out of my backyard.

That's twice the price I used to have to pay, and still - no takers.

Tue, 02/28/2012 - 11:48 | 2203977 Max Fischer
Max Fischer's picture

 

 

So, on a daily basis, the silver super-goons cry that the entire PM market is manipulated.  Not only is it manipulated, but apparently there is an entire "Cartel" who's sole existence is to competely rig the market. 

Yet, on a daily basis, the silver super-goons offer up pedestrian, junior varsity chart analysis on this very same market.  In other words, you're attempting to chart manipulation. 

*LOL*

You can't believe in a totally manipulated market and then expect someone to take your chart analysis seriously.  It sorta makes you somewhat...... NUTS.  

Max Fischer, Civis Mundi

 

 

Tue, 02/28/2012 - 11:51 | 2203993 tmosley
tmosley's picture

So you are saying that you can't predict that charts will be painted when the charts are painted?

That's identity, you idiot.

Tue, 02/28/2012 - 13:09 | 2204396 Transformer
Transformer's picture

mosley, I'm with Max on this one.  Charts don't mean shit.  Charting is about human reactions to market ups and downs.  Not human reaction to manipulated markets. They can paint the chart anyway they want, or not bother.  Either way, it don't mean shit.

Tue, 02/28/2012 - 13:40 | 2204496 tmosley
tmosley's picture

You don't get it.

Turd's thesis is that the "Cartel" paints patterns in the charts in an attempt to control prices.  Taking this thesis to heart, one can predict that the patterns that USED to correspond with human reactions will now be created and followed through on artificially, both by TA robots and by the cartel themselves.  This makes technical patterns MORE significant, not less.  They paint a head and shoulders, and you'd best get out of the way for the big leg down, because they will make sure it follows through, savvy?

That can be useful for those fools who choose to trade a manipulated market.  Lots of people have claimed to have made a good bit of money by following Turd's analyses, while only a few claim to have lost, or lost on buying opportunities.  But then, that is how it always is.  People will brag about winning a hundred even when it comes on the back of a thousand dollar loss.

I personally think that trading is and has been a fools errand since QE1 started, so I don't do it.  I just buy silver every month regardless of the price until my own thesis is fulfilled, at which point I trade silver for gold and ride out global hyperinflation before picking up the pieces in the new, non-fiat world. 

Tue, 02/28/2012 - 12:00 | 2204046 maxmad
maxmad's picture

Max, you give the name disgrace! 

Tue, 02/28/2012 - 11:49 | 2203985 Just Observing
Just Observing's picture

I'd like to see 42 again, since that's what I paid for the last I bought.  30% YTD doesn't mean shit unless you managed to time the bottom.

 

On the other hand, I'm quite pleased with the 6.50 I paid in 2004.

Tue, 02/28/2012 - 13:42 | 2204501 tmosley
tmosley's picture

Why aren't you buying every month?  Then you don't have to time anything.

Tue, 02/28/2012 - 12:13 | 2204124 Chicken_Little
Chicken_Little's picture

I usually like to lurk, but anyone that is not an insider in the JPM and HSBC USA concentrated silver short positions write every reason it doesn't exist. Load up with silver people.

 

 

Tue, 02/28/2012 - 13:51 | 2204527 THECOMINGDEPRESSION
THECOMINGDEPRESSION's picture

I bought in 2000. Traded a house for SILVER. Do I win a prize? Selling in 2015...buying a farm.

Tue, 02/28/2012 - 14:07 | 2204582 mick_richfield
mick_richfield's picture

"Buying a farm" is perhaps not the best possible choice of phraseology....

Tue, 02/28/2012 - 11:17 | 2203830 SHEEPFUKKER
SHEEPFUKKER's picture

Where are all the bubble boys? 

Tue, 02/28/2012 - 11:20 | 2203846 urbanelf
urbanelf's picture

The gold bubble is like my penis: seems huge until you really get down and look at it.

Tue, 02/28/2012 - 11:43 | 2203954 johnQpublic
johnQpublic's picture

my new all time favorite ZH comment

Tue, 02/28/2012 - 12:59 | 2204356 gmrpeabody
gmrpeabody's picture

He may have a small penis..., but he's got balls the size of mellons.

Well played, sir!

Tue, 02/28/2012 - 13:15 | 2204416 donsluck
donsluck's picture

The way your eyes are mapped in your brain is far different than how your body is.

Tue, 02/28/2012 - 13:28 | 2204459 The Swedish Chef
The Swedish Chef's picture

Off buying APPL.

Tue, 02/28/2012 - 11:20 | 2203840 Mr Lennon Hendrix
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Buy physical silver, because it is money.

Tue, 02/28/2012 - 11:25 | 2203868 trav7777
trav7777's picture

no it isn't.  There is nothing that IS money.  Money is operationally defined via consensus.

There are a lot of good reasons to buy silver and some good ones not to.  None of these are because it "IS" money.

Tue, 02/28/2012 - 11:31 | 2203911 Doña K
Doña K's picture

Okay! it's wealth preservation

Tue, 02/28/2012 - 14:20 | 2204636 WonderDawg
WonderDawg's picture

I thought time was money?

http://www.youtube.com/watch?v=8Moh7DXMk8g

 

Tue, 02/28/2012 - 11:35 | 2203924 tekhneek
tekhneek's picture

I think what he means by money is that it's held it's value over time and can be used to barter/exchange for other goods and services.

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