Silver vs Gold
- Thread starter SilverDJ
- Start date
mmissinglink
Active Member
Some here are hoping that the GSR goes to 100 before the bubble bursts and it drops like a cannonball back below 50.
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SydneySilver
Member
mmissinglink said:
My gods I hope so, but I don't see it happening unless we see something akin to another GFC
I'm gambling on a silver rally as it's the only reason in buying silver and not gold coins.
At least with this gambling I can still sell the goods and recoup my money.
At least with this gambling I can still sell the goods and recoup my money.
BenKenobi
Well-Known Member
TBH, I am a bit of a conspiracy theorist, I have done a large amount of research to try to settle my direction, alas I cant get the matter of manipulation by media sources out of my head as regards the Silver market. There is so much on the net regarding stacking from high level speculators through to hobbyists not too unlike myself. To a degree I feel that the power of the media is driving the Silver market, that is, to a degree, attracting persons like myself that are not wealthy and have little disposable income to invest in a product simply to the end of sustaining an un publicised agenda and critical to it, is getting the lower order of the wealth scale to assist in the propagation of the wealthy. Don't ask me how or why as I cannot give the answer, its simply a feeling of unrest in the back of my mind. I do wish i had more experience and depth of understanding market economics. Id love to have the yellow metal but when you trade across several kilos of silver coins and bars you are left with only a few ounces of gold, that does nothing for the feeling of getting ahead with savings. Silver is simply an easier to accumulate and more visual stack, it piles fast. I do think the relationship with physical quantity is a driving force to those with little or modest disposable income. Long term and I mean 15 years, Ag is not so bad an asset, short term though, I think there will be some very disappointed investors/hobbyists, in particular those wanting to see modest increases in a few years. The likelihood is that your Ag will drastically reduce from its current value and take quite some time to recover. This is baseless assumption on my part apart from my gut feeling. The short term fluctuations in Gold and to a lesser degree Platinum I feel are the best. But for people with hand to mouth incomes it is far from the reaches of reality. I confess, i am even buying Rhodium as well, god knows why, I must be nucking futs, but if it moves the metal can only really go in a upward direction, plenty of people are against the metal, for good reason. Africa is pumping out the metal like no tomorrow, its got to be going somewhere and stockpiled. I wont be putting all my eggs in the Ag basket.
mmissinglink
Active Member
SilverDJ said:
In the past, silver has rallied where gold hasn't. And while I understand that is the past and doesn't necessarily mean those factors that had driven those silver rallies still exist today, I believe that silver can definitely rally in the future in spite of gold not doing so (or not so significantly).
I have read informed opinions over the past few weeks which have argued that silver can rally somewhat independently of gold under the right conditions.
Since gold is way too expensive for me....it's sort of a moot point anyway, but I do believe that the Silver Phoenix will rise from the ashes once again....independent of a similar rally from gold. Therefore I believe the GSR will drop like a cannonball at some point in the (not-too-distant) future....after it has peaked and the bubble burst. So I expect the GSR to come up more....but what goes up will come down I suspect.
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SilverDJ
Well-Known Member
mmissinglink said:
That doesn't really seem to be the case:
http://forums.silverstackers.com/topic-71855-gsr-correlation-to-gold.html
It seems that gold has mostly rallied along with silver the last few times when the GSR has dropped, but silver has rallied slightly more to cause the GSR drop.
Jim4silver
Well-Known Member
If anyone has a bit more patience than a 5 year old, silver is by far a better "bet" than gold right now. The GSR is at or near the top of its range. That doesn't mean it can't go higher, but each step higher increases the "probability" that the ratio will go lower, at some point down the road (wish I knew when).
I know of a person that doesn't buy much new metal but "swaps" gold for silver, or vice versa, every time the ratio is really high or really low. He tells me that he is going to be swapping his gold for silver "soon". I know he did a silver for gold "swap" back in 2011 and did well.
http://goldprice.org/gold-silver-ratio.html
Just my opinion.
Jim
I know of a person that doesn't buy much new metal but "swaps" gold for silver, or vice versa, every time the ratio is really high or really low. He tells me that he is going to be swapping his gold for silver "soon". I know he did a silver for gold "swap" back in 2011 and did well.
http://goldprice.org/gold-silver-ratio.html
Just my opinion.
Jim
James
Member
As the GSR rises, gold becomes less and less affordable compared to silver for those with little to invest.
If 1gram of gold becomes $250, versus $3 for 1gram of silver, poor persons will spend more on silver than gold.
Most people have little to invest - so this will greatly impact silver and gold prices in the future.
The GSR is rising presently because while central banks (and others) are stockpiling gold and not silver, supplies of
physical silver are enough to allow paper silver trading to suppress the spot price.
Just my opinion.
If 1gram of gold becomes $250, versus $3 for 1gram of silver, poor persons will spend more on silver than gold.
Most people have little to invest - so this will greatly impact silver and gold prices in the future.
The GSR is rising presently because while central banks (and others) are stockpiling gold and not silver, supplies of
physical silver are enough to allow paper silver trading to suppress the spot price.
Just my opinion.
James
Member
Peter said:
The future amount of industry use is arguable. The main industry uses for silver are : jewellery, electronics and solar power.
Of more importance is that gold and silver have a long history as substitutes because they have similar usefulness as store of value (e.g. don't corrode, ease of minting into coins).
If gold is wanted for security - then an equivalent value in silver also offers security, unless public attitudes worldwide have changed radically !
Gold price goes up for security....silver also offers security.
Proper Gander
New Member
luvin the ratio over 80. just need the Aussie dollar to rally now and it it will be the perfect storm to stack hard. 
precious roar
Active Member
James said:
Silver is not seen as offering the same security as gold, and rightly so, IMO.
Chinese do not stack silver, neither do banks.