Forecast: Silver Price Will Jump to New Heights in 2010
Silver has history of being a traditional store of value. It is also used in industry, medicine, photography, jewelry manufacturing and in the making of coins. But should investors consider this precious metal when devising their trading strategies these days, when everyone’s attention seems to turn to gold, and how the commodity will perform in the future?
Analysts predict that silver will follow gold performance, which means it should steadily rise in 2010. It is not unexpected if we’ll recall the fact that most factors favorable for gold, like declining dollar and demand for commodities as investment assets, are also bullish for other precious metals, including silver. But, what’s even more interesting, some factors, that are bearish for gold, are in the same time favorable for silver. Just think how many investors and consumers will be repelled from gold by its skyrocketing price. And all these people may turn their attention in silver.
There are still some factors which are bearish for silver. With widespread use of digital photography demand for silver in photography industry was diminishing at pace around 10% a year and even 16% in 2008. Yet this decline in demand can be easily offset by demand from other industries like medicine, where silver used because of its antibacterial qualities. And while new technologies are replacing the old, silver is finding new applications, laptops and cell phones being the examples of modern technologies requiring silver.
Demand from industry rise as economy rebounds. Will supply satisfy this demand? It is not likely. It is true that output in China Russia, Mexico, Peru, Australia, Turkey and Bolivia is growing. But about 80% of silver are mined as a byproduct of other base metals and there are only a few pure silver mines left, with their reserves are depleting. And we should remember that most silver is not recycled, like gold, as it has much lower value. Therefore silver is gone forever after it is used.
Demand for silver is rising while stockpiles are dwindling. Analysts estimate silver price in 2010 in the range from $25 to $27.50. But as silver is greatly undervalued compared to gold, we can expect even greater increase in price of the precious metal in the future years as trader turn their attention to this less expensive but quite profitable commodity.
If you have any questions or comments about the future trading for the Silver, use the form below to reply.
hi i just want to know when will the silver prices start to rise in 2010?
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enivid Reply:
January 5th, 2010 at 4:32 pm
Most probably – when the U.S. dollar stops rising. For example, this week silver has already risen quite well as the EUR/USD was going up.
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enivid Reply:
January 5th, 2010 at 11:06 pm
Do you mean physical silver?
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Jay Reply:
February 6th, 2010 at 7:13 pm
Hi Abdul…….
As far as Silver is concerned u can take short position from 9th Feb for shorth term till Mid March ……….
For trading BUY SILVER till 9th Afternoon.
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i am looking to sell my silver but i don’t know who to approach
can you guide me please
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yeah i have physical silver quite a few bars of them
1000G SILVER BULLION BARS
- 1000G 99.9% pure Silver.
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enivid Reply:
January 6th, 2010 at 8:44 pm
For selling physical silver, you’ll probably have to contact the local dealers/banks. But dealing with physical metals is expensive and you’ll probably have to pay VAT on it.
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Dev Reply:
May 7th, 2010 at 5:01 am
Hi Abdul,
Get me your silver bar. i will provide you net cash on spot without depreciating in weight. I will take on basis of market price *92%. You can reach me 9789846515 @ any time
Dev
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i want to know the silver price history in india
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enivid Reply:
January 15th, 2010 at 9:12 am
Spot price on silver is virtually the same in all of the world. If you want to know the history of the retail price in India, then that’s highly dependent on the retailer and this information isn’t relevant to the actual silver trading.
What period of history do you want to know?
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i expect a good return from silver in coming 4 years
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Can any one suggest which is better for investing in Gold OR in Silver for a period of 2 years.
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Jaynuman Reply:
August 9th, 2010 at 3:43 am
Gold for only two years. Reason, global demand for goods is still in recovery mode, since silver is used in production of various goods it will follow the recovery trend. As far as the recovery…it could go three ways for the next few years.
1) rapidly due to various stimulus programs set in place (watch China, Europe, & USA stimulus programs) too fast is bad
2) stagnant but overall global demand will still rise slow. There could be brief market retractions and sporadic gains but a semi-flat increasing demand curve will be present. More likely to occur
3) Global demand could retract even further (the above 2 scenarios are more likely). Reason, any major event i.e. Korean conflict, Middle East conflict increases, a “Major” financial institution(s) fails, a “Major” terrorist attack occurs, general global social/civil unrest due to slow recovery, a Nation fails leading to a global domino effect, and on and on. 2 or more of these scenarios would almost have to occur except for the domino effect that would be the worst and highly unlikely that will occur at the rate “Magic” money is being pumped into the global economy.
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Hi,
Bad luck , we have sold silver in big qty in commodity at prices like 31500, 32500, 35 and by going with the waves we have even sold 38, 39 also but it’s just increasing and increasing. Could you suggest how to come out of this big loss occurred because of this hike in silver price .
Silver price will remain like this in future or it will come down ……
Thanks,
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enivid Reply:
November 8th, 2010 at 8:37 pm
It will probably fall down somewhere in future, but if you aren’t prepared to hold the positions for years – buy back as soon as you can.
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Abhishek Reply:
March 24th, 2011 at 8:53 am
Hi,
One thing every one should remember. Silver and gold were at the same price, once upon a time. Then what happened that in spite it has much more usage then gold, why it is suppressed. Nature always stabiles , so we can see poor men jewelry may be better then rich men jewels in few years from now. Silver can be like a SONAMI in the world.
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enivid Reply:
March 24th, 2011 at 9:26 am
I’m afraid you are wrong. Commodity prices are driven by supply/demand. And if it’s not difficult to imagine that people will be preferring silver to gold (pushing demand up), it’s improbable that the supply of gold will be larger than the supply of silver.
And what’s SONAMI?
The blog is right, silver prices have gone flying up over the course of 2010 – as did many other valuable metals. Will the continue to rise though with the strength of the economy – or will the European debt woes cause them to stay strong as people want to keep hold of a diverse portfolio of investments.
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I am confident that after a small market correction, Silver will continue to rally. There is huge demand in China and India. The array of electronics that require silver is astounding, very little if any can be recycled from electronics. I have even started a website teaching people how to acquire silver at no cost. (legally of course)
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Hi,
I have recently invested in silver @ 46,000, will the price will rise or we can see a bounce back in again near about 42,000 to 44,000 or we can see its price to 53,000 ?
please guide me what should i do, halt or sell ?
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VIJAY Reply:
October 22nd, 2011 at 11:49 am
KEEP IT FOR ATLEAST MOR 3 YEARS FOR DOUBLE………….
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enivid Reply:
October 22nd, 2011 at 12:18 pm
Are you sure? What will happen if Silver goes down steadily in 3 years?
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Predictions are all over the place, from a low in the mid 20′s to a high pushing $100 an ounce for 2011. The trend, if there is one, is definitely toward an increase in spot price.
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will the silver price rise in these two days,i want to buy the silver as the downfall runs today,when should i buy suggest me
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enivid Reply:
March 9th, 2011 at 9:16 am
The price looks to be consolidating before a next bullish wave. I’d suggest buying now if you plan to gain from a short-term upward movement.
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Hi,
I’m planning to invest and buy sliver, could you please suggest me that if I buy would it be useful/gain for me in the future.
I never ever invested, since I’m seeing the drastic change in the of sliver, made me to think to invest in that.
Is that right time to invest? please suggest.
thanks. Mani
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enivid Reply:
March 11th, 2011 at 10:39 pm
It’s probably not the best options to do it now.
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Hi there
Can you please explain what has caused the price of gold and silver to go up in the recent 3 years? I’m sure it has something to do with the economic downturn and devaluation of USD. Can you please explain?
Thanks,
Sam
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enivid Reply:
March 13th, 2011 at 8:24 am
There were many reasons for that. The main two are the lack of lucrative investment alternatives and the run to safety (due to expected and real USD devaluation).
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hi all,
could some one suggest me,is it the right time to invest in silver or there may be a downfall,,,,,,,,,if i make a long term investment like 2 or 3 years is it correct
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enivid Reply:
March 22nd, 2011 at 11:52 am
It can be quite dangerous to invest now.
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Like any commodity, the price goes up and down with people’s emotions. We could see silver go as high as $90. this year, and like the correction that took place last month, the price could also take a dive, as people take their profits and hide their cash under their mattress.
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what about now? Why are you suggesting that it is dangerous to buy silver at current prices?
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enivid Reply:
March 28th, 2011 at 12:22 pm
The potential profit may not be justified by the potential risk, if the silver rally fails and the institutional investors start backing off.
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so, it’s ok not in silver. If i have a bundle of notes, where should i invest it for max profits acc to you??
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enivid Reply:
March 29th, 2011 at 9:53 am
That depends on how conservative you are. I’d probably buy some bonds, but if you are feeling risky you can consider buying USD/JPY or investing in some industrial metals (nickel, copper, aluminum, palladium). But, if you are feeling very risky, you can still go for silver.
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hi ,
i have to invest for short term .please tell me investing in silver on 30 march 2011 is profitable for me ……………. if yes. than also tell me when to sell it ………………….. please reply me soon i am waiting for your valuable response ….. thank you :)
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enivid Reply:
March 30th, 2011 at 10:52 am
Sorry, but it is not possible to know if it will be profitable for you.
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hi,
i have invested for short term in silver on 30 march 2011 so please tell me when to sell it to get more profit please reply soon i will be waiting for your valuable response ……………
thank you :)
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enivid Reply:
March 30th, 2011 at 11:23 am
I’d sell it now :).
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and if i want for long term what should i do
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enivid Reply:
March 31st, 2011 at 10:09 am
Industrial metals should work better.
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investing in gold for long term is profitable for me please suggest me soon ……………….. i will be waiting for your valuable response ……………
thank you :)
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enivid Reply:
March 31st, 2011 at 10:09 am
It’s not possible to know whether it will be profitable. All I can say that currently there’s more risk than potential gain in gold and silver.
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hi,
i have bundles of notes .so please suggest me where should i invest my money to get profits with out any risk …… i will be waiting for your valuable response ……………
thank you :)
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enivid Reply:
April 4th, 2011 at 10:12 am
I think you should seek a professional financial advice because I don’t want to be responsible for your losses in case you follow my opinion. I’ve already said here where I’d invest my funds.
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I have several rolls of pre-1964 quarters. On ebay they are selling for about $6-$7. I have no immediate need for the money. Should I sit on it and wait a few years? I guess what I am asking is for your educated guess; when do you feel the best time would be to sell those quarters (for the silver content) and get the most bang for my 1/4 buck?
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enivid Reply:
April 17th, 2011 at 9:11 am
Depends on what do you expect… Generally, it’s a bad idea to try to catch the peak of the price. It’s much wiser to sell them when you are satisfied with the price.
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As i heared Silver KG cost goes to 10000 rs/- in india . is that right . what makes this much sudden raise . i don’t understnd.
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enivid Reply:
April 23rd, 2011 at 10:14 am
It’s the global speculative trend on commodities.
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MAY I PURCHASE SILVER OR GOLD IN THIS WEEK OR NOT , WHEN I WILL BUY SILVER OR GOLD.WHICH IS BETTER PRICE RISE IN FUTURE , PLEASE GIVE ME REPLY.
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enivid Reply:
May 5th, 2011 at 2:59 pm
You may. Don’t know. Don’t know.
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Is it ok to buy physical silver now?
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enivid Reply:
May 7th, 2011 at 7:42 am
I wouldn’t entangle myself with physical silver at all. Futures or options are more flexible and in most countries involve less taxes.
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Should i sell my physical silver now? Do you think silver is going back to sleep for another 30 years?
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enivid Reply:
May 7th, 2011 at 9:06 am
You know, we’ve just seen a major breakaway from a very strong trend. It’s very hard to tell whether silver will return to its trend or will continue to go down.
If you don’t like uncertainties – exit from your positions and re-enter if trend returns or forget it if silver falls to pre-bubble levels.
If you can stand losses, then you can just wait with your silver and see what happens.
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Hi All,
Request you to pls confirm is this the right time to invest in silevr & the best option through which we can invest in silver.
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enivid Reply:
May 14th, 2011 at 7:52 am
I’m not sure that it’s a right time to invest silver. But if I were to invest, I’d probably due it via buying some futures or ETFs.
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atchuth Reply:
May 21st, 2011 at 9:44 am
hi this is atchuth i would like to invest in gold and silver is it right time and how much dollars will touh at this session in gold and silver
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enivid Reply:
May 21st, 2011 at 9:47 am
What session do you mean?
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pl let me know gold or silver which is the best for long terms investment
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enivid Reply:
June 7th, 2011 at 8:55 am
If I had to choose now between those two, I’d go with silver.
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i had purchased silver at 52700 what is the future in coming 2 to 3 months will the prices rise or fall what should i do?
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enivid Reply:
July 20th, 2011 at 12:28 pm
52700 per what?
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what do you think now? Where is it heading? I believe it is going to be range-bound for a few months and then surge.
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enivid Reply:
September 14th, 2011 at 8:23 am
I agree about silver being range-bound for some time, but I really don’t know where it will go afterwards.
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