I have no idea but Ive always like this stuff so I purchased a small but from Scottsdale Silver yesterday. Im late in the game and I dont know squat about dips and spots, etc but I still think that this silver is going to go higher and higher. Im still young and would like to purchase it for retirement. Im feeling that SLV has no limit! Should I wait? or buy? Dip? no?
First of all, no you're not an idiot for buying silver. Completely the opposite actually. Secondly, since you're looking at holding long term it really will make no difference whether you buy on dips or not. A couple of dollar swings will matter little when silver eventually goes to the moon.
Ok another one, why is silver higher on Ebay than I can go get it at Scottsdale? I can by 1 troy ounce at 39.69 with free shipping and they are bringing $42 with free shipping on Ebay? Just askin! Im a newbie.
Short answer - because the average eBay buyer is an idiot and doesn't look beyond eBay for purchases. Check this recent blog post by one of our members on the silly premiums people pay on eBay for immediate delivery: http://www.bullionbaron.com/2011/03/ebay-no-playground-for-cheap-silver.html
I agree. You'll need another way to determine whether you're an idiot or not. Your decision on silver was good, but we would say that
Im ready to buy some more! heheheh kinda like a crack addiction, tho Ive never tried it, I know how they feel.
Just about to clear that up myself. SLV is the name of the ETF whilst Physical is well ... the physical metal its self ... One of them feels really nice in the hand, is sturdy and does not burn. The other acts in exactly the opposite way....
Trouble with Physical is geting in and out very quickly,postage,transaction safety and risk. Am thinking of buying etpmag,a silver electronically traded "share" on the Asx. Follows the price of Silver.Can get in and out in one minute and none of the above troubles. Keeping a Physical stack as well,of course. Liquidity a problem?(not many trading so may not be able to get out quick) Anyone doing this?
Yeh i tried, but didnt want to bankroll the trading platform to much and silver movements makes you sh!t your pants (specially if bankroll to small) . Was doing it on the SLV on this trading platform. got scared so when broke even took money out and went long on the physical LOL .... Easier to sleep at night ....
You're not an idiot by any measure... neither you are late in the game, in fact you are STILL ahead of millions of your yankee brothers and sisters. If you still buying and accumulating metal, when silver price is in the uptrend don't blow all your $ in one purchase. Buy abit at a time, and always have some $ in the sideline. When a major dip happens, take your reserved $ that you held back and go all in on the dip. When silver hit a new high... hold back on buying. There is usually a pullback after making a new high. Don't buy gold/silver bullion on eBay. Guaranteed higher prices because seller need to factor in eBay and PayPal skyrocket commission fee on top of the already existing premium attached to the metal. If you are buying numismatic coins eBay maybe an option if you can't find the coins in private dealerships.
Very occasionally you can score cheap silver at auction - but for Buy It Now it's always overpriced because of the reasons chimpanchu highlighted.
Aside from their current special offering, you only get free shipping from Scottsdale on orders over $500. Most dealers charge $8-12 shipping for single or small lots, so in reality, if you're only trying to pick up maybe an ounce or a few more, eBay may actually be cheaper at times. Plus, when looking for collectible and older date items, eBay prices will be more competitive than dealer mark ups.
"I just started buying, am I an idiot?" The answer is simple: If the price drops below $30 an ounce then you have been an idiot. If the price drops below $20 an ounce then you have been a complete idiot. If the price rises to over $40 an ounce then you are a genius. If the price rises to over $50 an ounce then you are a total genius. :lol:
Always check the premium you are paying above the reported spot prices. Many bullion and coin dealers price their stock on a minute by minute fluctuation while some tend to fix their selling prices based on the previous day highs. I can never understand why people are prepared to pay over the odds for silver bullion. Many prices for bullion bars are per ounce higher than nice Perth Mint coins, Maples, ASEs etc. A fever is rampant on e-Bay with the ill-informed scrambling to purchase coins, gold & silver. Bargains are getting rarer and many bids are unbelievable nowadays. About one year ago it was easy to buy coins on e-Bay at or even below spot. I just checked at the time of writing the premiums over spot on the soonest ending e-Bay ( first 6 items ) as follows- Silver 1 oz Britannia - 32% to 42% Silver ASE - 29% to 40% Silver 1 oz Kookaburra - very few available but one was 50% Silver round - 20% to 27% Don't know about in other countries but here in the UK gold is tax free but silver is subject to VAT tax at 20% so quite an increase required before breaking even. If silver is 22 spot then a 1 oz coin might cost 32 of which a big chunk is tax. If selling the price offered might just creep above spot so in order to make any gain the price of silver has to rise by almost 30% and if selling on e-Bay you would need to add a further 15% to cover costs. Silver therefore needs to increase by a heck of a lot to make any money. Gold on the other hand trades with much smaller margins like 2% to 6% and no tax so in the UK might be a wiser investment. Maybe worth investing 50% in gold and 50% in silver.
