Since we are all talking on this forum, we must be somewhat informed re the benefits of silver investment in dower times. I have invested heavily in physical silver, and junior mining stocks. Have always had glass half full attitude. Invested in Silver and not Gold because of the affordability; the gold/silver price ratio being historically outta wack; the historical safety haven aspects; silvers high industrial demand; etc... most probably some of the reasons we are talking here today. Watching the 24hr live charts on kitco.com... both charts have always virtually mirrored eachother. But gold for the first time in many months rose, and silver slipped back after us debt ceiling debacle hit the mainstream. Could this be a precedent for an ongoing trend? Am starting to get concerned that we are fighting a losing battle here against self interested price manipulation{shorting}by higher and cashed up powers that be...{???JpMorg,etc,/fed res???} And the lending margins for paper silver keep getting higher than gold. As sacrilegious as it may sound...Is Gold the better hedge for max ROI? Blasphemous... pls forgive me...ha. As weve just seen slightly... Gold could be the PM safety haven that the majority will rush to when the world economy really slips, when PM investment really hits mainstream? Golds price is the one on the news every night reporting its growth. We all know why silver should be a fundamental better bet, but does the majority?Feel this is worthy of discussion. Pls tell me why I am being impatient, why I am nuts... Help me restore the faith brothers and sisters...ha. If havent seen it, look at http://harveyorgan.blogspot.com, {a US Gold and Silver Report}.Is very current, very informative, very pro both. Gives amazingly {tad beyond my comprehension} detailed daily info of the trading of both PMs, price manipulation and all relative world media releases.
Gold is fundamentally safe and considered a safe haven and Silver is more speculative. Like you, I am Silver heavy as well and these charts still don't worry me all that much. What is happening is people dumping their ETFs/Shorts or whatever of Silver (to a lesser extent, Gold) to cover their margin calls on the stock market. What you are seeing is the safe haven effect of Gold, but Silver won't be far behind.
That makes sense... I myself dumped my ASX silver ETF - ETPMAG last week to buy into silver mining stock AYN.AX.
Best is to probably have some cash ready and buy, if, or when an opportunity presents itself. (gold or silver) Monday should be an interesting ride... or a beginning of one.
Couldn't wait till monday was in the city today buying 50/50 of each. For long term investment types there is sure a lot of panic on here. All I know is I've only been buying pms for under a year and I'm up a little bit, enough to cover my premiums if I sold at spot (which would be stupid). Not only that I have no regrets about my investment, the only worry I do have is that pms will eventually be too expensive and exclusive and I'll shut out before I reach my targets.
i'm silver vs gold 80/20 and no plans to change my ratio. $1 movement in silver is equivalent to a $40 move in gold. From here, if your price target on silver is say $50 an ounce (with current spot @ say $38), then gold has to move to $2,150 which is a pretty big leg up.
The 1 buck to 40 movement breakdown puts it all into perspective. Am always watching...but faith restored comrades...ha. If ever a Gold run over 2000+ eventuates with no change in Silver, I am sure we'll all be standing up and taking notice. AA+ Monday should be interesting. Go the shrinking ratio... All insightful comments are 'gold' {sorry...couldnt resist.}.
If havent seen this free movie online its well worth it. Dated circa 1998, predicts and reasons why the current economic turmoil is unfolding at present. Tad dry and dosed with doom and gloom, but reinforces what we are all talking of here. Be sure to watch both halves for the S+G section... Heres the link...http://www.younique.co.il/en/en/younique-articles-videos/millenium-money-movie.html
One simple way to look at it is Gold over the last twelve months %38 increase, Silver over the last twelve months %115 increase. Over the last five years Gold %155 Silver %217. A dollar in Gold over the last twelve months =+ $0.38 a dollar in Silver =+ $1.15 . (figures from Gold Price) I only have very limited $ to spend on either and while I appreciate the historic aspects of Gold V Silver I have also learnt that you only lose on a slide in price if you sell . If you find you cant sleep at night over it split the worry down the middle and go 50/50 on both, long term (even short in todays world) Both will sell a lot easier than the U.S dollar.....Shit what was a U.S dollar worth a year ago ?
Eric Sprott mentioned a few months back (QE2) that people would go to gold first. Silver is seen as speculative, gold as stable money. People seeking safety. Gold=safety. Silver fundamentals are good, supply vs demand, increasing industrial demand and applications, silver manipulation, over leveraged paper, possible use a currency backing, limited above ground stocks etc. If it was easy to get physical silver I probably would have more gold, with the intention of taking advantage of this gold wave to safety and later moving to silver for the ride home. Problem is though, gold you can get anytime, silver you can't. When things start to heat up for silver, not sure the everyday person will still be able to get it, not at just 3-4% above spot anyway. Fundamentals suggest long term silver is destined to outperform gold. I believe it is better to get physical silver now while we still can get it and it is affordable.
Thank you for this link, I hadn't seen this before, and whilst I already knew some of it - I learned and now understand more. Highly recommend - despite being 2hrs. Gives a nice overview of what means what, how certain things work banking wise, and makes it easily and plainly clear why we're potentially approaching SHTF day. Useful for those new to these matters, or for explaining to loved ones why you keep buying shiny
APMEX NOT ACCEPTING ORDERS! When you try to check out at apmex you get this message Seems to me they expect the price to skyrocket when Asia opens.
My faith in silver is far from waning! For me I think gold is undervalued by at least a factor of 10 relative to Fiat. There will only be so much cash that can hoard into it before people start taking profits and looking at the ratio. With so much less above ground silver available for purchase I think that ratio could spring past it's 16:1 historical ratio to below 10 for a short period. All this talk of industrial V investment etc may be relevant in short term turmoil and very relevant but it will become back ground noise once the herd starts to move in to protect themselves. Just my thoughts.
I wanted to, but since I'm a new member I did not have that option. Mods, feel free to move it to its own thread if you wish.
Likewise I have "dabbled" in ETF-ETPMAG just as a comparison of the dynamics compared to buying/selling "real" silver. I hold both. Interesting to look on comsec and look at the depth 1/2 hour before market open. Buying: 5 for a total of 529 units. Selling: 1 for a total of 30 units. Would look like there is a bit of enthusiasm to get a bit of "electronic silver" while those holding are playing a bit of "wait and see" and not particularly in a rush to sell at the moment.
ETPMAG...looking like a strong buy this morning re US rating drop for buyers not keen on the physical. Am wary about going long on the ETF- re its true backing with the physical. make a motza...cheers.
never waiver in your beliefs of sound principle and fundamentals, silver is poised to sprint once the elastics of the manipulators is broken for good.
aa+ week opening kitco charts - gold vertical spike, silver not the usual mirrored image, just slow and steady rise...any comments?
