Urban Survival - Silver and Gold Predictions for 2011 and Beyond

UrbanSurvivalSkills.com received this Anonymous comment from the Post titled "Are Gold and Silver Going to be Worth Anything?". When you need gold and silver they are valuable. When you need food, gold and silver might or might not be valuable. I can tell you from experience that every commodity has it's up's and down's. It certainly looks like PM's will continue to rise, but as sure as the sun will rise in the morning one day the PM bubble will burst too. Not saying don't buy PMs just saying be careful.

UrbanMan replies: Roger the being careful. Being careful in my book is multi-fold. It includes NOT leveraging all my available cash to buy silver or gold. It DOES include buying some silver to ensure I have all my Survival Plan bases covered.

Put it this way,...as of right now, knowing the collapse possibilities (TEOTWAWKI) Which person would you rather be:

Person A: Twelve months of food and one rifle.

Person B: Six months of food and one rifle, saving enough money to buy some silver, water purification filters, Survival gear, medical supplies, etc.

Sure, some people will say,...with food I can barter for anything else I need.   Yes that's partial true,......if it is available and that other person wants to trade.

I think the idea, in my book, is to be as prepared as you can afford to be, across the board as required against the threats you have wargame as likely.

In the below radio interview, James Turk, talks about his predictions for 2011 and from 2013-2015. Turk predicted that there was a 20% chance for Silver to hit $50 a ounce in 2010. He says that in 2011 that possibility has increased significantly that we'll see $50 an ounce Silver and Gold at $8,000 an ounce.

By my calculations, with Gold at $8,000 an ounce,..Silver should/would $200 an ounce, based on the current 40 to one ratio.

I'm NOT looking at like "Holy Cow, in the event of TEOTWAWKI, I'll be rich!", .....I am looking at it like "Jesus Christ, what kind of world would we be living in at Silver being $50 an ounce or more? Will food be available and at what cost?; What's the Security situation going to be? I need some Silver in order to buy the things I may need to assist in Survival".

The Gold to Silver ratio is now 40 to one. The historic ratios are more like 16 or 20 to one. Currently th 40 to one ratio is falling making Silver more valuable percentage wise than Gold.

Anyway, would it too redundant to suggest everyone have some Silver put away? I also suggest Survivalists make good use of the internet, particular financial blogs, and You Tube videos, to enhance their understanding of the current crisis. Most often, I play a video or audio while I work on something else and when a comment or key word grabs my interest, I'll go back and watch/listen more closely. I guess this is the Survivalists version of multi-tasking in a research and planning scope.

Survival Planning - Dollar Collapse Will Shock the World

Today King World News interviewed James Turk out of Spain and Turk issued the following warning regarding the US dollar, “I am looking at the weekly chart for the last 2 1/2 years and my conclusion is that the dollar is forming a massive top. If we stop to consider that gold was rising while the dollar was basically going sideways during this period of time, imagine how rapidly gold will rise when the dollar starts falling.”

Turk continues: “What I’m watching here very carefully is how the dollar is reacting to events in the Middle-East and higher commodity prices. Brent crude is presently $115 and that is signaling higher inflation. It’s a signal that everybody around the world is watching. So watch the dollar index closely. It broke below 77 and the chart is starting to look heavy. UrbanSurvivalSkills.com remark: The chart below from Bloomberg.com depicts the falling value of the dollar, and trends from the part five years, based on the dollars relative value compared to other main currencies.

"The dollar isn’t bouncing and it now appears the dollar is ready to fall off of the edge of a cliff. The dollar collapse is going to be the next big story. If I am right and the dollar really starts to dive, the implications are global in nature and I truly believe this event will shock the world."

When asked about gold Turk responded, “To me the most important thing is this huge base that we now have in gold under $1,400. I see it as a major launching pad that could easily take gold to my $1,800 target for this year. UrbanSurvivalSkills.com remark: Other analysts say Gold will climb well in the $2,000 a ounce range and not come down.

When asked about silver specifically Turk stated, “I think the major message in silver is that every dip is well bid for. The shorts and other big players may gun for stops from time to time, but they can’t change the underlying trend, or the very bullish fundamental picture.

When the gold and silver markets start becoming disorderly, then we will know the metals are going to take a breather. But everything at the moment says we should be focusing on higher prices for both gold and silver.” UrbanSurvivalSkills.com remark: Better get some Gold or Silver while youstill can. Remember OPSEC. Use mail order and delivery to your house as a last resort.

71 to 74 is seen as the last support if the dollar heads lower. If that support fails and the dollar breaks 71, then a waterfall decline with panic selling could come into play. Turk is right, that event would shock the world. UrbanSurvivalSkills.com remark: The US Dollar will be worth nothing as major currency holders overseas, which account for a significant percentage of US Dollars, will sell all dollars. Gold (and silver) will skyrocket. Fuel will go through the roof and food prices will greatly increase as will all commodities. Get Prepared Now.