Is It Time To Sell?

Kinda like gambling I say. :P

Oh yes. PM's are much better than those other options. You dont flat out lose until you sell!

The Commodities Market was never meant to be the price leader of any given commodity. Instead it was designed as a hedge, or insurance, against market volitility; for the producer. In other words it was designed to keep producers from losing their shirts if the bottom should drop out. At that time price was set by supply and demand. This is no longer the case. Around 2001 Congress passed an act allowing Speculators into the Commodities market. Why? Because some very smart people figured out they can make a lot of market with a few simple rules changes. So they paid Congress to change the rules.

So how do most people make profits in the commodities market? Most speculators are "longs". In other words they make money by buying at one price for future delivery and then selling when that price goes up. If the price goes down they can lose money. If the price remains the same they still don't make any money. Secondly when it does go up, the new price tier/level/support becomes ground zero, and the longs then need to push the price up even more so as to make their profits from that price point. At each point it takes more and more cash to "buy in". Sound familiar? At some point longs literally don't have the cash to go any further. And the system collapses.

That's a cliff note explanation of a complex process. So; to the OP question? I think we will see $50 silver, or close to it. Why? Because of the massive amount of new players who have jumped on the Long bandwagon this week. They NEED to push it up there to make a profit. Not would like to, but need to. However; there are some even more smarter and powerful people that have a history of making billions "shorting" markets. In other words betting on the market losing money. And sometimes they lead the false charge of the bulls up the hill...and over a cliff. Just my opinion, which with .50 cents will get you half a cup of coffee, I would sell around $47.

Yep.

Should you sell? Only you know that answer. We are in the speculation business with owning gold and silver. There is no guarantee no matter what report or facts you read to lead you to where the price will or will not go. Things can change on a very short notice.

Thus are you happy with the return on the money you put out? Are you a risk taker hoping for a larger gain? Do you think it would be better to hold in case the economy goes real bad?

What looks high now can look real low in the future. On the other hand we may have reached near the peak and things could be real low in a short amount of time.

Everyone has a different level of risk taking for as many people that will tell you to sell there will be just as many people to tell you to hold.

I have a two prong approach. First while all the money I have in gold and silver is important none of it has a major impact on my stability if I loose some of it. None of it is needed to make sure we do not go into debt if a worse case scenario happens. Personally I could not risk money that would be needed to meet the basic bills etc.

I have a set amount that I will sell at a given point that will make a nice return. I have another set amount I am willing to risk for even larger gains.

Those set numbers are personal and honestly are not based on anything other than my tolerance for greed and risk.

So should you sell? If you had to ask maybe you are at your limit of risk and should.

I say due for a big day for silver, like 3 or 4 gain, and it drops nearly three bucks today just 12 hours later....

Maybe should repeat the prediction an get us back down to 25 an oz. for a bit to stock up, lol....

Yea this post is pretty worthless now that silver dropped almost 3 dollars. Makes me chuckle a little thinking about all the people I saw buying pre 65 quarters for $12. I think ill just hold on to mine and keep buying in the mean time.