I’ve had good rid over the last two weeks trading SLV. However, over the past few days I’m down a bit.
I don’t think my trade fundamentals are wrong. The reasons I’m trading SLV are below:
Fed printing money increase inflation and drives the dollar price down.
Gold to silver ratio has widened making silver a catch-up trade to gold.
Gold is trying near all time highs where silver is still $20 below the all time.
Silver spot prices are trading $2 higher than SLV
Another stimulus bill will dramatically devalue the dollar.
I believe there is some funny business in the underlying SLV which is run by JPM. They have been in trouble for manipulation before so I would not put it past them since they have shorted the living hell of of silver.
So when the price dropped 4% yesterday I opened some lotto calls for today.i guess we will see what happens...
Update: I had opportunities to make some money, but I ended up loosing $4. This was a success considering I was down a few hundred at one point.