Inflation adjusted gold mine leverage

Most times it's better to just buy gold. 

3X leverage is dangerous

Never buy a leveraged ETF!

JP Morgan Suppressing Silver Price

I wonder who is suppressing the silver price with short silver open interest. Yes, JP Morgan.

Registered silver stock is low, while open interest is soaring.

Of course this cannot go indefinitely as silver leverage is starting to spike.

And we all know what happened in 2016 when gold had that leverage spike? Gold soared from $1100 to $1300 per ounce. The same will happen with silver.

COMEX Paper Silver Leverage Alert

What we saw in gold at the COMEX is now spilling over to the silver side.

Remember this chart? The spike in paper gold leverage in January 2016 started the huge gold rally from January 2016 till now. Gold went up from $1050/ounce to $1300/ounce today.

 

Silver hasn't done anything yet, but I now see signs of the same thing happening on the silver side. Paper silver leverage is building a spike now. I predict that in the next few years, we will see silver spike upwards.

 

The huge inflows in the SLV ETF is confirming my suspicion. The funds know what will happen. As these funds gobble up all the silver, this will add to the silver deficit in the years to come. See red chart below: