Exactly like gold and great materials stocks, Silver (and gold) has been range-bound for so long now there is a segment of the physical silver (and gold) stacker community that are taking this opportunity to exit or to sell down and take (very small) profits. This is to be expected and cited commonly as weak hands being shaken off the bull.. a great metaphor! This has the impact of keeping Silver range-bound or trading only temporarily at these levels as more silver enters the market capping the price.. once these weak hands have sold off into strong hands and silver is locked away deep in a vault we will move up to higher levels again.. great opportunity to hold and make really nice profits or increase equity See more at: http://galeforcesales.blogspot.com....is-is-when-weak-and.html#sthash.FI4e6Cyy.dpuf
So you're saying we are the silver price manipulators? What a twist Someone should leak this info to SilverDoctors so that a suitable market legend can reveal the shocking secret in an article illustrated with huge explosions.
Not so much.. but in our micro environment yes... Macro Stackers of the world but using the local catch phrase. I am sure if you are German or american or British you'll be thinking maybe i should sell a little now to realise some small profits.. also its a "snap-shot" in time.. i am sure we have all seen tight demand on this forum, currently its at the other end of the spectrum and all it can take is one seller to "oversupply" to give the illusion of silver abundance - we have seen a spaight of silver at spot recently which is not common in all stages of the silver cycle. SS is my anecdotal evidence as i know it well can observe this market daily / hourly! As we go higher there will be more demand and less people to sell down into the price rise (its exactly the same as stocks). Certain price levels will shake out weak hands again but its a case of diminishing supply as it moves up (likely what moves the price up in the first place -- its a chicken / egg scenario!
They might not have weak hands, they just might be sensible. Only time will decide this. Perhaps they wish their hands had been weaker years ago, with silver.
That is exactly right Peter, especially the case with Gold in AUD .. lots of downside risk with a lower gold price or higher AUD - Silver in US$ far less so IMHO (i did allude to this in the full article) regards, 1for1
or maybe they just need the cash flow, I store my wealth in pm's and recently have had the need to buy baby stuff. so I need to liquidate some of my more liquid assets eg round 50's so I can get fiat to pay for things eg breast pump, pram etc
Yes there are distressed sellers / sellers to buy incidentals .. but thats more a subjective thing, unrelated to the cycle in my opinion as anyone can fall upon hard times randomly and will need to sell some or all.. it is of course a reason one might sell (quite right..) I am sure there are 101 reasons one may sell, purpose of my post was to show that during a run up quite often it pauses with a sell-off as explained, that is all.
This advice seems a bit strange... You seem to be treating the purchase of silver as some sort of a movement as part of a war or something. Why not sell some of your silver now, lock in your investment gains and rebalance your investment portfolio?
Maybe explain more, i don't understand your point enough to justify a response, doesn't seem to tango with any point i am making .. the war is in the middle east and my intention is to make an objective observation about this stage in the investment cycle.. stick around and let me know if you have any forum questions.. regards 1for1
What I don't understand is how you can claim that the right advice, right now, for everyone investing in silver is to keep on holding on to silver and possibly buy more. You seem to be making an emotional argument rather than a logical argument. Depending on the individual goals and objectives of different silver investors, now might be the time to sell off all of their silver and move into something better, for others, now's a good time to buy in, for others now is a good time to keep on holding silver. Meanwhile, silver still hasn't returned to the highs of February or November or April 2015.
My points are not emotional in the slightest.. pure observations. My point is now you can by closer to spot and that given the recent rise some people are taking this opportunity to sell and take profits, and this may cause a short term price leveling as additional Silver is flushed .. crystallized.. thanks for reading and your comments are appreciated, amazing how there are multiple interpretations.. i didn't see the ambiguity at all yet it must be there - obviously each individual will need to make investment decisions based on there own subjective variables as is ALWAYS the case when someone pens thoughts about investment -- and the title is a hook to get you to read.. not investment advice We have a sales thread on SS, i am selling silver Its just a write up.. as you can see if i am selling your post is non-nonsensical and clearly not the start of ww3 / 4
Its not my term, its as old as the hills mate.. pretty sure most people in these parts are very familiar with it.. just means sell easily or not a long term holder, common as mud in the stock world also.
Nothing wrong with a bit of profit taking. There are so many variables that come into play when timing a sell: factors such as your risk appetite, investment horizon and goals, future expectations, current financial circumstances, alternative investment opportunities, capacity for loss, the percentage of your assets in precious metals, etc.
Yeah .. and for us in Australia.. last time Silver ran to $50.. before we had any real chance to trade on it, it was back to around $40.. the last gap up happend lightning fast.. those that sold near the top were laughing Timing is everything.. you can be in the right investment and still not make it like a bandit. If you were like me and didnt get to sell any youll likely have a price point in mind to sell a non core position or the lot depending on your situation. I guess one of the advantages of silver as you can incrementally sell like you can incrementally buy.. not like we have broker fees. I want to sell the silver i cant secure in my safe or move into more gold or buy a bigger safe.. i have been strategising my end game dream stack for years .. as much as i want greedy amounts of silver i choose to buy gold the last few years despite preferring silver in terms of what i believe will go up more. other variables as always play there part in the decision making.. and my strategy has changed massively over the last 10 years.. at the start i couldn't fork out that much for gold.. it seems so expensive VS cheap silver.. Good luck guys.. nothing wrong with profit taking, any money i pull out will go back into metal investment anyways.. banks will get nothing! My only goal would be to buy real estate but ill have to see a huge dip before i am tempted into that asset class.
I know what is running through 1for1's head: I want a stacker with a strong hand, I want a dealer who's an easy touch, I want somebody who will hold long time Not buy and sell in a heated rush I want somebody who will understand When it comes to silver, I want a strong hand [youtube]http://www.youtube.com/watch?v=pnVOt2LK2Gg[/youtube]
Late night all you can drink Karaoke in Japan singing slow hand without needing to read off the teleprompter (As the Pointer Sisters are my favourite Artists and i of course no the lyrics off by heart) .. good times PS - very clever Pete
One of many topics I spoke about briefly yesterday with a (not very close) friend was precious metals. I knew she purchased silver over the past couple of years. I know she purchased physical but I'm not sure she had any paper silver also. What I didn't know until yesterbday is that on recommendation by her "financial adviser", she sold all her silver about a year or so ago. She sold at a loss and she said she would never buy precious metals again. I tried to tell her that her "financial adviser" gave her bad advice and that she shouldn't hate the idea of investing her money into precious metals because of that.....but she seemed to shrug at the notion that I, a very simple person, could be suggesting to her that her financial adviser did her wrong and she quickly changed the subject. Maybe it's too painful for her because I know she also has plenty of money invested into the stock market and the past year must also be a sad one for her in that regard because my guess is that the money see got for the sale of her metals almost certainly went into the stock market. So yes, some people, and I now know this first hand, have gotten or are getting weak hands in precious metals. If and when they sell at a loss, the problem is they are blaming everything else except the one they should be blaming...them self...for accepting financial advice that seems to me to be bad advice. By the close of 2016, when we will be in a full swing bull market in precious metals, she will probably be kicking herself even more. .
Question: to what extent will an increase in physical sales affect the price, except in terms of premiums? Though the OP's argument could apply equally to paper PMs I guess.
