Get ready, set.....

silver is more attractive than gold at the moment. I've been urging my readers to get into silver all year. 
Some of them may have even taken a recent hit from the pullback. If that's you, don't fret. 

Silver is about to take off again in a very big way.
By this I mean that as silver goes up... and, for reasons I'll outline, I think it must... the price of a good silver stock should rise even faster. For example, if the silver price rises from $15 to $20, you've made 33%. But if you are a silver producer with a production cost of $10 an ounce – your profit margins have just shot up 100%.

The margins quickly become spectacular at triple-figure silver prices.

But triple-figures?

Silver is trading at $35 an ounce right now. Could you really see it top $100 sometime in the near-future? Keep in mind silver doubled in the first three months in 2011, so it's nowhere near beyond the realms of possibility.

3 digit commodity

Silver obviously is a precious metal which has a history as a precious metal as long or even longer than gold.  Its ratio to gold right now is about forty to one, which is extraordinarily cheap, but what needs to be realized about silver is it a precious metal and it’s a critical industrial metal.The majority of solar panels require silver and theres not enough of it if we really start large scale solar panel production. The Chinese realize this and are already accumulating silver and will continue to accelerate those efforts.

The Chairman of Goldcorp said he expected Chinese purchases of gold to exceed those of India this year, which is just extraordinary. 

I would expect their purchases of silver will commensurately be even larger because they need it.  They are not just buying silver because they want an alternative to the dollar, they are buying silver because they know they are going to need it desperately to build out solar energy.

So silver, is a three digit commodity there’s no doubt about that.