Dont Panic Over Silvers Recent Performance, A Major Rally Is Coming

(May 8, 2018 - by Neils Christensen)

Investors shouldn’t panic about silver’s lackluster performance against gold as the market is following a very familiar pattern according to one market analyst.

In a commentary on Seeking Alpha, Victor Dergunov, founder of Albright Investment Group said that history has shown that silver often underperforms gold at the start of a new bull market.

Dergunov’s comments come as silver prices continue to hover near the bottom end of a four-month trading range. May silver futures last traded at $16.44 an ounce; meanwhile, June gold futures last traded at $1,313.40 an ounce. Both markets are relatively unchanged on the day.

He added that he sees three significant factors that will eventually push silver out ahead of gold. He said that he is expecting silver prices to push past $50 an ounce ultimately.

“Silver is going to go up, it is going to go much higher, probably eclipsing former highs and permanently establishing a far higher trading level,” he wrote in his commentary.