John Embry's Tragycomic Statements on Silver

I was sure I would hear about the silver crazy lunatics soon, and was delighted to see that John Embry was interviewed on King World News during the silver crash. I knew it would be such a delightful moment to hear all the nonsensical comments he would have to make, so I kept it as a week-end treat.

For those who do not know him, here's a short bio that will summarize all you need to know:
John Embry is the the Chief Investment Strategist of Sprott Asset Management.
John Embry is very famed as the winner of the Stupidest Statement of The Month (for August 2011)
He is renown for having had only two investment strategies for what it seems forever now: 
1 - buy gold and silver 
2 - buy gold and silver shares

Anyway, here are some delightful comments Embry made during the interview:

The Central Planners had to smash silver... when you're motivated the response is in proportion of the problem.

They've created a fabulous buying opportunity.

Any free money that I have would be committed to the physical and the shares. [...] Some of them are just crying out to be bought.

And he goes on and on what they want, what they will do, and how they will fail. They don't want you to believe that silver is a safe haven.

I mean, come on, do people who have given their money to these incompetent losers at Sprott seriously believe that giving your money to be managed by Fox Mulder is a good idea?

In the meantime, my silver shorts positions are looking quite nice:

I have been warning all the people I could, and prevented as much of them from buying silver and gold in the past many months. I just hope my readers managed to also save their assets and not fall into this massive bull-trap.


Tiho said...

Hey mate! I'm glad the trades are going well.

From the investment point of view - so take your 1 hour chart trade hat off for a sec - I read what you write on all these posts about Silver and S&P 500 and Crude Oil and Gold and US Dollar.

So I am quite similar with your view of a massive sell off, and to be honest with you stocks are in a secular bear market without a doubt, however commodities aren't.

Therefore, I know what your view is, but I want to know what you will actually write if this doesn't come true. Say for example in a few years from now Silver is at $100 an ounce, Crude Oil goes above $100 towards $150 - especially Brent - and say Gold goes to $3,000.

I know what you write now and its extremely bearish - but what will you write if that happens? From a trading point of view you might make decent money on Silver short. You aren't the only one, but if you keep shorting and than Silver stops going down at $26 or $24 or $32 or whatever and goes up again as they print more and more and more, what will you do?

I just wonder what your blog will sound like in a year or two, because I actually think this is one of the greatest buying opportunities for commodities. But if I am wrong, I will lose money and have a massive egg on my face.

Tiho said...

2nd paragraph, similar - familiar.

iPad aut correct sucks!

pej said...


first of all, it's not about you against me. it's not about getting an egg in the face or whatever neither.

I actually would prefer to be with you on this one.

and then, to be honest, if had been in front of my computer when silver was trading at $26 a few days ago, I would have bought some! A 40% decline in 3-4 days, it's too much of a squeeze to be sustainable.

Anyway, here we are, let's see how it pans out. I reserve the right to change long term perspective with the news flow and the market action. And you should too.

Tiho said...

Na.... sorry, the amount of bearishness you placed on this blog is an ever lasting historical data house!

You cannot change that hahaha! You would then show that you haven't done any research and are just jumping up and down with market swings. In others... aka dumb money!

p.s. For me it's nothing about someone vs someone. I was just wondering what you will be writing about with Silver at 100 dollars in years from now, because you called Sprott, Faber, Rogers and every other precious metal bull an idiot about 10 times in the last several months.

p.s.s. You also said Gold is doing an Oil 08 style.

pej said...

Another misunderstanding/misinterpretation dude.

I'm not calling the bulls idiots. I very much respect Marc Faber, Peter Schiff and Jim Rogers.

But Embry and Sprott is a different story:
when silver moves in their direction, it's their skill, but when silver moves in the other way, then they and the central planners and the evil shorters are the culprits.

I'm calling crazy lunatics people who are crazy lunatics. Sprott and Embry are a disgrace to the investment community. And not because they are bullish, but because they are STUPID and CORRUPT.

Tiho said...

Ok fair enough. Those guys are weirdoes and their whole hyper inflation thing is beyond me. However, they will be right and Silver will go higher.

Also, why would you buy at $26 during the first trough? That is not a bottom, at least not yet. I'm still short and I remain short until the downtrend ends.

You've held trades for more than two weeks haven't you? =)

pej said...

Yes, I do keep some positions for long. I have been holding to my AAPL since I bought them at around $13 (after split, i bought them before the split). But now might be time to sell or even go short.

pej said...

I would have been happy to buy silver at 26 and then let a trailing stop loss do its magic.

How low do think it will go before you close your short?