# Silver Bullion Prices Ready To Take Off

The new volatility in silver bullion prices is now finally at ease and that’s the best news we have heard in a long time. This year’s unprecedented course has seriously affected the market’s credibility and has been damaging for the majority of investors, while at the same time experts were relentlessly predicting that silver was heading toward a huge breakout.

Maybe it was a case of affluenza, a state where investors were dazed by high earnings and forgot to exercise common sense. Forgetting the past only undermines the future so it is vital at this point to put the market facts into perspective.

It is true that silver prices had declined rather predictably and progressively after their sudden speculative dash at $48.32 per troy ounce in 2011. By the end of the same year prices had corrected by 13, which was the least expected. At that point hardly anyone had any reason to be displeased with silver prices, except for those who had been daring enough to “ride the train” when silver smashed through the$30 an ounce barrier, and greedy enough not to sell at $40,$41, even $43 an ounce, making an easy and quick 25%, or more, profit. Silver gave them a second chance later in the year rebounding over$40 an ounce, and since “It is not for a wise man to make the same mistake twice” 2011 ended exactly where it started, only with investors somewhat wiser.

Trading was the name of the game in 2012, as the year ended with small profits but wide volatility, which gave traders the chance to make a lot of money buying and selling silver. After the year’s summer slump in the area of $28 an ounce, spot silver leaped at$35 an ounce (that’s nearly 30%).

The exact same scenario was played again this year when the price of silver gained 32.2% in one month, from June 27th to August 27th. In all fairness, investors did have their chance for a profit this year.

## Silver bullion’s glorious past

In 2001, silver’s price spent long stretches below $4.20 an ounce and it languished there until the early signs of crisis began to show. Silver began 2005 below$ 6.50 an ounce and finished the year closer to $9 per ounce. It crested$15 per ounce in 2006, receded to $10 but then touched$21 an ounce in 2009, closed 2010 above $30 an ounce, and ultimately peaked at$48.70 in April 2011.

The new volatility coming from the “silver bubble” burst lead silver prices to a staggering 60% correction last summer , almost 23 lower from silver’s all-time high, the maximum that is technically possible.

Silver prices have tested the $20 an ounce resistance point every single day of this week. Not counting any other factor, this is enough to show that soon$20 per troy ounce will be a mark of support for the price of silver.

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