If you believe that after a crash silver will first go down, then you'd be foolish to buy now rather than then.
The first sentence is analogous to government gambling warnings: "Dont buy silver or gold gamble unless you can afford to never sell lose it. ^This suggests your money is gone for at least an indefinite amount of time, probably forever, and to not dwell on the losses. It also assumes a foregone conclusion regarding the future market value of metals. Both are fundamentally flawed investment strategies, and both reinforce the all too commonly accepted nature of PM investment psych. Read between the lines, and make a considered decision.
1. Putting more money into a market you aren't comfortable with or think has little upside in the near future. 2. ??? 3. profit?
Depends on how you look at wealth! I dont have much of it and never did but I own my own house am fully debt free and have a very healthy bank account that is going up pay check by pay check and I am in no need of extra income from assets. You could say I am financially comfortable so any pm,s I buy are just accumulating one type of wealth for another. my financial comfort zone may be much much lower than many others on here but I started with nothing and its now more than those waiting for pm prices to rise so they are not counting losses The op is counting losses but I have lost nothing on my silver even after paying some outrageous premiums on ss, I have lost nothing on my house even after paying outrageous sums in mortgage interest to a bank over the years. People want what they cant afford and once they can afford it they no longer want or need it! my game is to stay ahead of the game and give away nothing in the proses of trying to making something,this way I have lost nothing.
wrong, what happened in the 80's was an artificial minupliation of the market by the hunt brothers and can be ignored as it was not normal market forces at play pushing the prices up.
This may be a noob thing to say but the way I look at it is you've got more silver than most people out there, you can't loose.
Right, but the fact that two brothers and some individuals they convinced to join in during a relatively EXTREMELY high interest rate environment when leverage and margin lending were fractions if what's available to the wealthy today could do that tells you that it's something that could easily happen again. Artificial manipulation or not the Ag market is a mile wide and an inch deep and the same could easily happen again. 30-50% premiums on 1000+oz ASE orders in the states last year shows that the ordinary investor is price sensitive and willing to buy when the set up is right on top of artificial manipulation and stupid money getting in on momentum. Taking advantage of that takes timing and keeping abreast of the market, but there's no reason a Druckenmiller, Icahn, Soros or any number of other people or institutions couldn't do the same again. I wouldn't be surprised if tge day came when people could pay for their stacks regardless of whenever they bought by selling a third of their stack of low premium to s dealer at spot and the rest being cream or free insurance. That's not why I bought, it's nut why I buy (not that I buy weight much these days with keeping my metal a long way from home), but the fact that it was manipulation, by frankly a couple of otherwise un-noteworthy middle rich list guys and a few people they convinced to come along for the ride doesn't make it a less valid or likely scenario today. Especially with places like Japan where a high net worth individual or group or find or bank can borrow at essentially zero with an inflated forex value on their currency. Or a Swiss guy or a Kyle Bass or someone like them borrowing through a place like Japan. The price isn't artificial if that's what they give you at the buyers or dealers for your opm 1oz ounce round. The world doesn't have to be on fire to get a return on silver bought in 2011.
I now own more gold than silver. I don't believe the GSR hype. I'm making a decent paper profit on both. Gold feels safer, it's "The Vibe". Glad I didn't get in in 2011, that would have sucked
Lots of people have lost lots of money buying precious metals at the wrong time. Investing one's hard earned cash into bullion, just like investing in any other asset, commodity, or product isn't necessarily a smart way to invest one's money. Timing is everything I believe. Markets tend to be cyclical, including the precious metals (PM) market. There's no guarantee that precious metals will ever be seen as favorably as it was seen by some years ago.....but that also doesn't mean that all or most people will abandon their notion that PM's are a 'safe haven' asset. It also doesn't mean that we couldn't see a resurgence of lots of people who have never thought about precious metals believing that it's important to own some. Gold and silver does not function as money for the vast majority of people on earth. There's no intrinsic value in a blob of metal. All value is attached value. That said, old habits die hard and perceptions don't readily change to I am one to believe that for the foreseeable future (and for generations likely), precious metals will remain a strong asset class and therefore something worth investing my money into when I have spare money to invest into something I see as a potential long term store of value. This bear market could last decades longer or we could already be in the beginning stages of a return to mean and headed for a bull market in PM's. My crystal ball isn't working so I've no way to know either way. .
Spot on... Also all known major civilisations declined over centuries. Unless we are talking about Atlantis, the pound was the last great civilisation in slow decline, so will USA over time, so unless there is a biblical ELE disaster on the horizon PM becoming the next global currency will take a long time. Anyone got evidence of general PM investors in Crete, Spain, Portugal or Venezula with silver and gold that became over night millionaires? If there was wouldn't we all be hearing about it? If not in main media at least from some of the extreme pumpers in YouTube. Having said that I made a great dollar return when Korea went into financial meltdown in the Asian currency crisis. Plus In Korea everyone had gold. It's a cultural thing having gold. But no one was in the street trading it or buying rice with.
As long as gold is priced in USD, then these people are far better off than those holding a local currency that is rapidly depreciating in value, assuming they can safely flip for USD then exchange for local dollars as needed. Edit: or maybe Bitcoin would be just as good?
I think Bitcoin is a valid play, it's not a novelty anymore, and there does not seem to be alternative that will kill it. Plus there is no rule that says their can be more than one digital currency. Only catch is I'm not that interested in that mode of nvestment.
