If you only learn one thing from reading Mike Maloney's book, it's stop thinking in terms of price and focus on value. I'll stop buying metals when they are overvalued, I'll continue buying when undervalued and fair valued. In fact, I hate the term "buying" metals. You're not buying, you're saving in another currency. Currency exchange if you will.
That's it! I'm saving, preserving my wealth by converting dollars to pms instead of everything into the market or GASP!... bonds or cds
So for many late starters like me, does that mean we could/ should never get into precious metals if the saying for stop buying silver at low $30s and gold at $1800 is true, as seems like we (late starters) don't have much choice with that sort of pricing anymore.
I am just buying to soak up the excess fiat. Once I run out of that I will stop buying. My whole aim was wealth preservation so the more fiat I convert into silver the more I conserve from inflation, tax, wanton spending etc. The fact that it seems to be going up in price is just an added bonus. Still got a bit to go but as I am buying numismatics as well as PMs and other collectables it shouldn't take long!
no mate - it means that you should instead get your advice from those who know what they're talking about If you haven't read Mike Maloney's book yet - do so immediately! once you have (and understood it) you wouldn't be asking about what fiat price to pay because you'd KNOW that such a question is stupid and irrelevant ... savvvie??
Yippee im sure most get it but agreeing with it & making decisions based on it is a problem for me when everything is payed for in $ dollars.So my decisions are dollar based not presumed value
i know where you're coming from mate it does take a bit of extra trouble to work out the value of silver ... but it's not THAT difficult. it just takes a little bit of detective work to find out what the current going rates are for other goods and services. in the case of RE - it's not terribly hard to find out what the current median family home is selling for in each capital city. once you have that - you can easily work out how many ounces of silver/gold it would cost. for oil and bread and shares - its even much easier! so not really that much of a problem to see where the relative value of PMs is at - and THAT is what should in all honesty be considered when purchasing/selling PMs... SAVVVIE??
No sorry.... me no understand :lol: I know the whole relative value thing you just cant buy anything with silver or gold until such time il stick to dealing in cash ... SAVVVIE ?
Maloney makes money selling gold and silver...would you expect a retailer of paper towels to recommend buying sponges? Maloney is good, just read more than his book
That's rich. Some people seem to have erased 2008 from their minds and learnt nothing from it I see. If you are new to the game I would suggest staying clear of permabulls, that's all i'm going to say as I don't wish to argue.
Which lesson is that? That silver dropped in price? or that the price drop didn't last too long before it took off again? You seem so cocksure that silver will again drop significantly during GFC II ... perhaps you are right. perhaps you are wrong. still - this has nothing to do with distinguishing between price and value - something you don't seem able to acknowledge
Hmm, 2008? You mean that amazing buying opportunity? Over-leveraged paper gamers might've been burnt. Anyone holding debt-free physical weren't affected unless a forced sale? disclaimer: I wasn't stacking in 2008.
Value; equivalent worth or return in money, material, services, etc.: to give value for value received. Price is value, current value, but PMs can't and shouldn't be purchased with only current value as a deciding factor. It's future value that really matters, one day, one month, 1 year, 20 years. It's the future value of Ag & Au that makes me stack, not current value, though current value/price does determine how much I buy, oh that and my wallet
you are perfectly correct my friend. current value is important for one reason though.. plot it against time and you get a trend! for the last ten years at least, this trend shows that the value of PMs is increasing relative to just about anything else you could care to think of.... at least those things that really matter in modern life. so yes, this is precisely the reason i continue to stack PMs. WHEN this trend starts to reverse someday, and certain other assets begin increasing in value compared to PMs, THEN it is time to sell out PMs. Not a terribly difficult concept to grasp, but you wouldn't say so when reading the posts of some here (and all those numnuts who "thank" the dimwitted posts as well) :lol:
That a repeat of 2008 will smash silver 60% and thus create a buying opportunity. There is no perhaps about it, it will fall if we get another GFC. You do not seem to understand that and you do not seem to acknowledge the very real possibility that Silver can tank. To say it's smart for new stackers to jump into silver now is very reckless advice and I'm not going to be silent as you suggest that to uninformed individuals. pmfiend, physical stackers were hurt because they could have bought more Silver for their money at the bottom. Just as people were hurt buying up to $50 in April, if you waited for the inevitable you could have bought in the low 30s. You permabulls are like religious fanatics, you have this fairytale that hold to be true, informed individuals keep hammering you with facts, world events put pressure on your belief and yet you still blindly cling onto this thought of $500 Silver. The clever people bought well below 30, the rest of you are simply late to the party and try to justify your lateness with soothing ideas that Silver is going to the moon. It may happen but it is just as likely that it will not. Sorry but someone with an average cost of $20/oz is not uninformed. End of story.
