Last week, silver successfully broke through its 200-day moving average of $17.94 per oz and exploded to a settlement price on Friday of $18.34 per oz – a new 3 1/2 month settlement high! A little over one year ago, silver surpassed its then 200-day moving average of $15.11 per oz. Over the following six months, silver rallied as much as 37% to an August 2, 2016 settlement price of $20.70 per oz!
Considering that silver bottomed on December 23, 2016 at $15.70 per oz or approximately $2 per oz above its previous bottom from one year earlier, silver could easily explode into the $22-$23 per oz range this summer! If NIA is right, its new #1 silver stock suggestion that it will be announcing early this week, could easily rise by 488% from NIA’s suggestion price – just like the average of NIA’s previous 7 Mexican silver stock suggestions!
Silver is extremely undervalued relative to gold with a current gold/silver ratio of 68.54! This compares to an average gold/silver ratio since 1970 of 56.12. In April 2011, the gold/silver ratio declined as low as 32 and during the upcoming U.S. debt/currency crisis – NIA is certain that the gold/silver ratio will return to its fundamental fair value of between 15 and 16 where previous U.S. Coinage Acts had officially defined the proportional value of gold and silver.
Gold is also getting ready to break through its 200-day moving average! Over the last two trading days, gold has rallied by $24.90 per oz to finish last week at a settlement price of $1,256.90 per oz – just below its 200-day moving average of $1,262.38 per oz!