If you plot GSR (Gold-to-Silver-Ratio) on ten year chart, you will find out GSR has already peaked and been going down for a while. Price action recently has indicated that during GSR decrease, silver held up and gold just crashed. This might be the future movement as well. Under this condition, long silver might lose money, too. The only profitable trade could be, just short the gold.
GSR rises today; gold held up and silver dropped. Days ago GSR dropped; silver held up and gold crashed. This is exactly what I am talking about. GSR has been moving around; but both gold and silver dropped in the end. IF both gold and silver continue to drop, gold will crash much worse than silver; in order to lower GSR. Anyone noticed recently there are much more gold coin specials than silver? There is a reason behind it.
Yes and it's been irritating. I want to do my next 100 oz buy of silver (@ $16 oz) but those super deals are nowhere to be found anymore. Hopefully one pops up this week. At 30 cents over spot. Right now I see a stacker at 69 cents over spot. Not to bad, but I want those awesome deals and at the price I'm looking for. At least I got in on my silver ETF buys I wanted though. Just need the physical silver also now. At $1100 I'll buy my next gold coin.
If you plan to buy physical, my trick is to buy low AND there's NO specials around. Large bullion dealers always hedge their inventory; and their hedge position kept reducing for the last several weeks. You can take a look at weekly COT report. However, it is not there yet; the commercial short is still 3x than long. Be patient, once that ratio drops from 3x to 2x; that might be the dip, and I am almost sure it will be hard to find specials at that time; simply because bullion dealers loses the hedge position in futures market.
The path for a lower GSR in the next few years: gold and silver take turn to drop; with smaller drop on silver, and huge crash for gold. WRONG time for stackers.
Well leon1998 i have bagged you a couple of times for making a post and then nothing more said until your next prediction and i can not do that here as you have stuck around and entered into conversation. I much prefer these posts of yours . If this is the new norm expect NO MORE bagging from me. Right or wrong predictions are fine in my book as long as they are not just predict and run.
GSR creeps up, at the cost of silver down. Gold unable to advance, very dangerous prospect; previous low will be tested at US$1050, soon
Yes, for the next two weeks. While I am not here, you better sell all your bullion and coins as soon as possible. Trust me, next year will be a massacre for goldbugs.