Silver just five trading days away from all-time record high price

We’re just 14.87 percent away from the all-time record high price for silver. Prices have only been higher for five trading days in all of modern history.

There’s something unusual afoot in the silver bullion market. The metal’s up more than 11 percent in two weeks of trading. Silver spot prices ended the weekend at $43.05. That’s just $6.40 off silver’s all-time record high $49.45 that was set in 1980.

More incredible still is the fact that silver prices have only traded higher than $43.05 for five trading days in all of modern history! That’s according to Matt Turner at Mitsubishi. Those days came in January 1980 when the Hunt Brothers’ hoarding, rampant inflation and surging fuel prices all conspired to push silver prices into the stratosphere.

The fact that silver could punch its way past $49.45 in just five days of trading is scary. From today’s price, that would be a gain of 14.87 percent. It could take a year to get there, or it could take 120 hours. Protect yourself with stops, and enjoy the ride!

If silver is indeed going to surge through its all-time record highs, we’ve got to be aware of the fact that it could do so quickly. Remember, too, that silver prices can fall just as quickly as they can rise. On perhaps the most infamous day in silver trading history – Silver Thursday – prices for the metal fell more than 31 percent in a single day of trading as rumors of the Hunt Brothers’ billion-dollar margin call circulated in the pit. The Hunts aren’t around anymore, but there are still sharks out there.

If QE2 comes to an early close, for instance, or the Fed announces a rise in interest rates, silver prices will likely plummet. The decline won’t necessarily last, but you’ll want to make sure you’ve got enough elasticity in your account to handle the lows and the highs. Those who do, stand to make a lot of money in the months to come.

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