Unbeknownst to many, certain facets of the commodities market operate on less tangible factors beyond basic supply and demand. Silver is one such commodity that falls into this category. Its price is often swayed by manipulative forces, raising questions, and causing confusion among investors.
The manipulation in silver prices primarily arises from the speculative trading of silver derivatives. Powerful financial institutions can cause significant fluctuations in prices by ramping up their speculative activities. This creates volatile shifts in silver prices, which can either be beneficial for those in the know or harmful to those who are not.
Additionally, due to the smaller market size of silver compared to gold, it’s easier for these institutions to manipulate the prices. Itâs less costly and less evident when the prices are manipulated. In essence, the silver market is often seen as the ‘playground’ of large speculators.
However, it’s important to note that while potential manipulation exists, it doesn’t mean that investing in silver is a poor choice. Silver, like all investments, carries risk and potential reward. The key is to understand these dynamics before entering the market.
Silver investors must make informed decisions by understanding the market’s signals, such as volume and price movements. They should be aware of market sentiment, technical analysis, and global economic indicators, which can often provide clues into the manipulation of silver prices. Read More
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