Last year has been one of the worst years for silver investors, Morgan told Kitco’s Daniela Cambone on the sidelines of the Vancouver Resource Investment Conference.
“I feel [almost] embarrassed because for the last few years I've been saying that it will be a better year for the metals … But, I don't give up,” he explained. “I’m seeing positive things in the gold market and once we get through $1,300 and level off and get through $1,350. I'm absolutely convinced the bull market is finally back and silver will follow.”
Gold has been doing very well so far this year, rising 2.7% in January, with April Comex gold futures last trading at 1,325.50, up 0.76% on the day. Silver, in the meantime, is up 2.6% since the start of the year, with March silver futures last trading at $16.06, up 0.87% on the day.
Morgan blames some of the tough years in silver on the metal’s emotional investors.
“There’s so much emotion in the silver market. It's similar to bitcoin from that aspect. People get tied up emotionally rather than intellectually. They don’t really think about their investments. The metal moves fast and hard, it’s easy to get excited. And when things move down, it's easy to get discouraged,” he said.
There are two sides to silver, Morgan added, describing the metal as “almost bipolar.”
“There's the industrial side that keeps marching on, which is very established and that doesn't change much. But, the rest of the market is emotional. And that’s uncontrollable,” he said.
In the future, Morgan sees more instability, stating that “there’ll be a lot of people flocking to silver [when it is] above $30, just like what saw last time, when I said: ‘Do not buy silver above 30’.”
- Source, Kitco News
