(C) Reuters. 3 Silver ETFs to Buy Before The Next Reddit-Fueled Squeeze
Silver (SLV) could be the next target of Reddit traders. Already, there are some signs that they are gaining traction such as a drop in COMEX inventories and an increase in PSLV’s AUM. Find out 3 ETFs you should consider buying to take advantage of the next, potential short squeeze.The recent run-up in stocks like AMC (AMC), Blackberry (TSX:BB), and Bed Bath & Beyond (BBBY) is an indication that traders on Reddit and social media will continue to be a major influence during this bull market. In fact, this is now the second short squeeze that they have organized and engineered. At the beginning of the year, we experienced the first meme stock rally which caused GameStop (NYSE:GME) to go from $17 to $483 in 13 trading sessions.
These moves are a testament to the power of social media, the infectious memes about punishing short-sellers on Wall Street, and the human desire to be part of a collective that is focused on a mission. Therefore while many investors may be dismissive of this new trend, I find it fascinating from a human interest perspective and believe that it can lead to profitable trades if we can anticipate the crowd’s next moves.
Something on my radar is a new Reddit message board – WallStreetSilver – which is attempting to engineer a short squeeze in the silver market. This follows an earlier failed attempt in February which caused silver’s price to spike from $23 to $28 in a few trading sessions, however, these gains were quickly reversed. Their mistake was in buying SLV, an ETF that buys futures contracts. However, this group now has a much more promising approach which I believe is more likely to be successful, if they can attract more people to their cause. Therefore, investors should consider buying silver ETFs like the Sprott Physical Silver Trust ETF (PSLV), Global X Silver Miners ETF (SIL), and the ETFMG Prime Junior Silver Miners ETF (SILJ).
3 Silver ETFs to Buy Before The Next Reddit-Fueled Squeeze
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