great silver post banned from wallstreet bets now on Zero hedge and now here

Silver Squeeze post goes viral on WallStreetBets

A few days ago I tweeted about a Silver Squeeze post I really liked on r/WallStreetBets.

When I saw that the post had recently been removed and the user banned, I reached out on Twitter to offer my assistance so that others here on ZeroHedge could see the user’s post going forward given its popularity.

The user, known as TheHappyHawaiian, responded via DM and I’m happy to announce we now have the post here on Zerohedge for anyone to view, and where it won't risk being deleted, censored, or banned.

This r/WallStreetBets user's first silver post was cited as a contributing factor to the silly financial media-provoked silver surge we saw on February 1st, 2021 onwards. Physical silver subsequently sold out at retail locations across the country over that weekend, and that silver fever hasn’t let up since. Silver bullion and PSLV long fever has only grown virally since. Physical silver premiums are still trading at $5-$6 per ounce over the silver spot price and large-scale silver bullion drains are ongoing in London and elsewhere.


1. The potential for a short squeeze (573% of the 'float' is currently sold short)

The big thing to remember here is that if enough market participants who are long silver contracts in the futures market begin to demand delivery of their silver, there will absolutely be a melt-up in the price because there simply isn't enough supply available.

The next 3 trading days are critical, and there is a war being waged. The shorts and COMEX are in a fight for their lives, and barely hanging on by a thread

Many big-name precious metals veterans have bemoaned for years about how the size of the 'paper' silver market absolutely dwarfs the amount of silver that could be delivered, and thus the market is manipulated. The vast majority of futures and options contracts in the silver market have historically been settled via cash. Meaning no physical silver is actually delivered when these contracts are set to expire. This is where the talk of the 100-1 and 250-1 paper silver to physical silver ratios comes from, but short interest is actually more like 6-1 on the COMEX using open interest data through the next two big delivery months.

Technically every month is eligible for deliveries, but only months with options interest tend to have any real volume, and that's why they are known as delivery months. March and May are options expiration months, while April is not.

If you want to think about it like a stock, the short interest is 573% of the 'float'. This is based on the fact that over the next 3 months there are futures contracts and options which have the right to take delivery of 847 million ounces of silver.


2. Why the 'hedge funds are pushing silver' narrative is BS

Several posts have documented the timeline of Silver posts on WSB and why the narrative of hedge funds pushing silver to hurt GME doesn't really make sense. more in LInk
very long article but very insightful



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