How to trade silver for gold when the ratio gets low?

Discussion in 'General Precious Metals Discussion' started by ozziestacka, Oct 5, 2020.

  1. ozziestacka

    ozziestacka New Member

    Joined:
    Oct 4, 2020
    Messages:
    17
    Likes Received:
    4
    Trophy Points:
    3
    This is something I've wondered for a while. I hear a lot of people saying they will trade their silver for gold when the ratio goes down, but what is the best way of doing this when the time comes?
     
  2. JohnnyBravo300

    JohnnyBravo300 Well-Known Member Silver Stacker

    Joined:
    Mar 16, 2019
    Messages:
    3,551
    Likes Received:
    3,396
    Trophy Points:
    113
    Location:
    Colorado USA
    I talked to my lcs about it just recently and how I could do that.
    He still needs to make money so it will cost me a few extra ozs of silver but I'll wait until it's worth it for me.
    It will cost me around 6 to 12 percent depending on what I'm trading.
    He said I should try to get Double Eagles when I get gold if I can and I said ok, save some for me then haha.
    In reality I would take any gold he has.

    Or I could just sell silver to him and order Double Eagles. Either way.
     
  3. JohnnyBravo300

    JohnnyBravo300 Well-Known Member Silver Stacker

    Joined:
    Mar 16, 2019
    Messages:
    3,551
    Likes Received:
    3,396
    Trophy Points:
    113
    Location:
    Colorado USA
    Another question is whether to pay for the cost of the exchange in silver or fiat if I go through my lcs.
    My wife says fiat haha.
     
  4. ozziestacka

    ozziestacka New Member

    Joined:
    Oct 4, 2020
    Messages:
    17
    Likes Received:
    4
    Trophy Points:
    3
    Is there a particular ratio you are looking for?
     
  5. JohnnyBravo300

    JohnnyBravo300 Well-Known Member Silver Stacker

    Joined:
    Mar 16, 2019
    Messages:
    3,551
    Likes Received:
    3,396
    Trophy Points:
    113
    Location:
    Colorado USA
    Somewhere below 50 or less hopefully. Most of my stack was between 85 and 125:1.
    Converting is all I'm really wanting to do.
     
    Last edited: Oct 6, 2020
  6. ozziestacka

    ozziestacka New Member

    Joined:
    Oct 4, 2020
    Messages:
    17
    Likes Received:
    4
    Trophy Points:
    3
    Do you think it is worth purchasing gold right now or is just purchasing silver the best bet? I have silver but no gold, I wanted to get at least some gold just so I have it. Silver is just so tempting though.
     
  7. JohnnyBravo300

    JohnnyBravo300 Well-Known Member Silver Stacker

    Joined:
    Mar 16, 2019
    Messages:
    3,551
    Likes Received:
    3,396
    Trophy Points:
    113
    Location:
    Colorado USA
    Its personal preference really and gold is my ultimate goal for long term stability. Everyone has their own plans with their metals so theres different strategies.
    Just depends on what you want.

    Gold tends to be more stable as the main money metal but silver can often have bigger ups and downs by percentage.
    I believe silver is more undervalued so I'm mostly in silver.
    You could get many different opinions and views on this site.
     
  8. alor

    alor Well-Known Member Silver Stacker

    Joined:
    Jun 16, 2011
    Messages:
    12,102
    Likes Received:
    3,877
    Trophy Points:
    113
    getting my silver ready, opps getting other people silver ready
    so that i can get more X gold in a hurry
     
  9. 66rounds

    66rounds Well-Known Member Silver Stacker

    Joined:
    Jun 22, 2019
    Messages:
    2,986
    Likes Received:
    3,385
    Trophy Points:
    113
    Location:
    Melbourne
    What if there is no gold around when youre ready to convert? That is the entire reason I skip over silver and go straight to gold. GSR too much of a gamble for me
    Only reason to buy silver is if you want to hold it, not convert to gold
     
    sgbuyer likes this.
  10. JohnnyBravo300

    JohnnyBravo300 Well-Known Member Silver Stacker

    Joined:
    Mar 16, 2019
    Messages:
    3,551
    Likes Received:
    3,396
    Trophy Points:
    113
    Location:
    Colorado USA
    My lcs always had gold during the runups but he was always short on silver. It sold as fast as he could buy it
    When prices skyrocket the average person goes after the silver every time. They never want gold.
    I'm hoping for the same this time!
     
    66rounds likes this.
  11. alor

    alor Well-Known Member Silver Stacker

    Joined:
    Jun 16, 2011
    Messages:
    12,102
    Likes Received:
    3,877
    Trophy Points:
    113
    there would be 20 oz of gold any time out there, some times no silver at all
    with local dealers available, there are always available, only some premiums
    dealers are not on lock down, can buy online and get it delivered foc to your door
     
  12. alor

    alor Well-Known Member Silver Stacker

    Joined:
    Jun 16, 2011
    Messages:
    12,102
    Likes Received:
    3,877
    Trophy Points:
    113
    too many are after the Panda poop lol
    [​IMG] [​IMG]
     
  13. sgbuyer

    sgbuyer Well-Known Member Silver Stacker

    Joined:
    May 25, 2018
    Messages:
    3,892
    Likes Received:
    1,963
    Trophy Points:
    113
    Location:
    Singapore
    I don't bother with GSR, more concerned with cost of mining. At the moment, silver is well above mining cost of $12-15 per oz so I'm not that comfortable to buy in any significant amounts.
     
    66rounds and STKR like this.
  14. sgbuyer

    sgbuyer Well-Known Member Silver Stacker

    Joined:
    May 25, 2018
    Messages:
    3,892
    Likes Received:
    1,963
    Trophy Points:
    113
    Location:
    Singapore
    Anyone buying silver over the weekend? The rebound is pretty strong, maybe the correction is over? Will Trump concede to the Democrats on the stimulus?
     
  15. JohnnyBravo300

    JohnnyBravo300 Well-Known Member Silver Stacker

    Joined:
    Mar 16, 2019
    Messages:
    3,551
    Likes Received:
    3,396
    Trophy Points:
    113
    Location:
    Colorado USA
    I'm tapped out after last week, was my biggest buy month ever.

    There wont be any meaningful stimulus to the people, they are making sure of that. It's already 6 months too late for most of them.
    Theres a dollar printing party going on but we ain't invited
     
    sgbuyer and 66rounds like this.
  16. BiGs

    BiGs Active Member

    Joined:
    Jan 20, 2014
    Messages:
    840
    Likes Received:
    120
    Trophy Points:
    43
    Location:
    Sydney
    My current plan is swapping over at 55-50-45 and a 4th/last time based swap for the rest provided the 45 gets hit. I would probably hedge it on the paper markets initially, depending on what the physical market is like at the time. Physically you will probably be easier selling and rebuying, you may find swap deals for GSR direct, given there is more premium on the silver side, but they would probably just be buying bulk bars at wholesale price to do the deal with you.

    Watch out for tax events and paper trails xP.
     
  17. SilverDJ

    SilverDJ Well-Known Member

    Joined:
    Nov 1, 2014
    Messages:
    3,935
    Likes Received:
    1,297
    Trophy Points:
    113
    Location:
    Australia
    You have an online account like the Perth Mint depository, just takes a few mouse clicks. Allocated or unallocated.
     
    dollars likes this.

Share This Page