Silver Sell Signal Begins Its Long Term Rise

It may seem odd talking about sell signals at the beginning of a new bull market for silver, but let us get into perspective what bull markets are all about. Silver has seen strong buying in the retail sector as investors snap up silver eagles and similar bullion coins. Likewise, the silver ETFs as a group are near record levels.
The majority of people buying into silver have one objective in mind – selling out of silver at some point in the future. A minority will doubtless be holding these investments for other reasons, but most are in as they perceive silver as a means of capital preservation or appreciation against the return of fiat money inflation.
So, as we prepare to hold silver, the need for an exit plan is required. Do not assume this is something that you only need to think about years down the line, what would your exit strategy be now if you were forced to sell? How would you know when to sell? How would you sell? Speaking personally, I have rethought one aspect of that strategy and that is in what form I hold silver. I address that matter in my latest newsletter, but given the dramatic way in which silver bull markets end, by the time you hum and haw and wonder whether to believe those who say such and such a fall is only a pullback, your profits are already down 20%, 30% or more and they are not going to recover.
The 52 year graph above is something I am now pinning my silver exit strategy on. I would say that though my retirement does not depend on it, how this is used will, shall we say, enhance it. The silver price is in green, but it is the darker line that is more relevant here. I call it the RMAR sell indicator and I will not go into how it is calculated, but it is a simple formula based on a simple principle. I update this indicator every weekend on my spreadsheet, load it into the charting software you see above and update subscribers.

This post was published at SilverSeek on April 27th, 2016.