Jim Cramer - Why Silver is Going Higher

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Gold took out its high, so you should always own some in your portfolio as insurance against these market reversals. Gold coins are great, and gold bullion is good if you are able to store it. There is another precious metal that is poised to do even better than gold. Instead of gold, you should think about buying silver. Silver has outperformed gold this year. Silver should continue to deliver larger profits.

The SLV is an ETF like the GLD. Silver was banging and banging against the resistance level. However, it recently broke through, and that is a bullish technical signal.

Right now the volatility for silver is at record lows. This is important to a technician. High volatility always leads to low volatility. The opposite is also true. When the volatility to low, is is called a volatility squeeze. This is the case with silver right now. It is due for a 5 point upward gain. Gold is also extremely bullish, but now as much as silver. The charts tell you everything that you already know. The difference between gold and silver is that there is more volatility in gold. Gold probably isn't going to come back down, but if it does, then it is time to buy.

Based on the fundamentals, silver is looking better than gold. You can't just blindly follow anything, but you should be paying attention to this. Gold and silver are pretty much your only choices when you are buying jewelry. They are both scarce commodities. The difference is that silver is more often used for industrial purposes.

You still need to own some gold, but silver could be even better. But don't buy any silver mining stocks. The SLV is probably the best way to play this move.

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[davidlee110]

SLV suck balls Jim, i rather have Physical instead :)

[rockstarr469]

NICE CALL CLOWN

[ZagsRule11]

almost 1 year later and the stock is up to $31 share. He was right on this one!

[xyvsz]

is this clown still on tv?....folks, remember this: no matter what this and others liars says about metals, gold and silver will go up in the medium and long term. Eventually a new bi-metals backed dollar will be issue no later than 2014-15, that a sure thing. Is going to be correction along the way? sure, that normal and needed. This is not 1930 or 1980, this time gold, silver and even other commodities came to stay among us. Gold was, is and will be money..nothing else matters.

[xfactortype1]

funny he gets burned by silver and now calls it a junk metal. then it went from 26-34.

[kcrone1]

I knew as soon as Cramer made the call on Gold and Silver it was going to tank big time. Withering away now!!

[mybestpieces]

Cramer was Wrong on Gold companies. AEM is half the price he tells you to buy it at. If you bought Physical Gold and Silver you would have MADE MONEY

[audiopro316]

@fazole Its underground and they havent figured out how to tax the bejesus out of it. Also, online gambling isnt manipulated for the most part, you can still make money at it.

[audiopro316]

@fazole He was called out about it, but everyone seems to have a short memory in this country. The TV and mainstream media have a tendency to rot your brain.

[audiopro316]

@MadeByEduNotLaziness Just google 'obamacare gold', there is plenty of reading. The recently signed NDAA bill, to support and enforce the patriot act, is also a scary one. People will soon have no civil liberties and not even realize it. They wont tell you this in the news, but if you sue or ever go to court for any of this stuff, you will lose without a doubt. Regardless of what the constitution says or what you think your rights are...

[MadeByEduNotLaziness]

@audiopro316 Where was that stated?