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 Replies: 743 / Views: 51,885 |
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Pillar of the Community
United States
1454 Posts |
According to iShares Silver Trust (SLV), silver briefly fell as low as $29.09 today for the first time since January and is trading within $4 of its 52-week low. What's that mean for predicting decline or growth in the short term? That's anyone's guess. Will silver stay this low or even lower throughout summer in that period of the year when PMs tend to crest? Would you wait on making a big purchase until we know if falling prices are a trend or a blip? Of course, dollar cost averaging remains a wise choice; but what's everyone's general feeling for where prices are going? Will we get back to the $35 range where we were in March or are lower prices here to stay, at least for the next few months?
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Pillar of the Community
United States
1796 Posts |
If you're in it for a short term return, stay out. You will lose all of your money with your impatience. :-)
If you're in it for a long term return, buy it on the dips while it's cheap as it'll always go higher eventually.
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Valued Member
United States
318 Posts |
My quote shows the May silver future with a day range low of 29.92 and I welcome the drop. I'm less than 1/10 of the way to buildout of my hoard, so by all means panic and sell!
The one year chart shows a sharp and steady descending price, but the 5 year chart shows a slower steady increasing price. My chart reading skills tell me that means there is a 50-50 chance it pops up or down, but almost guaranteed it's going to move sharply either way by mid to late summer, definitely by election time.
My current operating theory is Obama gets reelected and cranks up the printing presses in his second term to pay for a whole new batch of social programs. A close second is Romney gets elected, enacts massive tax cuts, and cranks up the printing presses to pay for them. So, I'm buying metal.
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Pillar of the Community
United States
1388 Posts |
A lower spot price means better deals  ... The bullion value will always be there, but a low spot makes collectors very happy |
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Pillar of the Community
 United States
1454 Posts |
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Pillar of the Community
United States
1454 Posts |
Quote:
A lower spot price means better deals... The bullion value will always be there, but a low spot makes collectors very happy I couldn't agree more. When prices fall, I always get the best deals on the proofs I collect. And these aren't selling anywhere near spot, unfortunately. |
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Pillar of the Community
United States
2661 Posts |
I hope it continues in a downward spiral, but either way I will still buy if the price is right at spot.
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Pillar of the Community
United States
4008 Posts |
Quote:
My current operating theory is Obama gets reelected and cranks up the printing presses in his second term to pay for a whole new batch of social programs. A close second is Romney gets elected, enacts massive tax cuts, and cranks up the printing presses to pay for them. So, I'm buying metal. I agree with this reasoning and would add that even if Obama is re-elected, it is very likely that he will face a hostile congress in both the House and the Senate. 2010 was only the beginning of hard times for formerly entrenched politicians. Many of them are bailing out while the bailing is good. A big question there is will the Repubs gain a veto-proof majority. If they do, then who is in the White House at the time will be largely, if not completely, irrelevant. As to PMs... as always the political and economic situation looks pretty bad for conventional investments. That should funnel more money into PMs. If things go badly in Europe, we can expect a lot of European money to bail out of Euros and into both dollars (of all kinds) and PMs. My strategy remains the same and that is to transition from paper to PM investments as expeditiously as possible without taking a huge tax hit. A good part of this is regular PM purchases with some emphasis on buying the dips but at least buying some even if there isn't a convenient dip available at the time.  |
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Valued Member
United States
264 Posts |
No silver has passed through my door in over a month now... My earlier target of silver breaking below $30 has come sooner than expected. Yet, those 5oz ATB NGC deals on ebay are gone as people have begun bidding up to high levels. Would be real interesting to see this month's silver margin call statistics, for those guys who love ETF's so much.  |
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Valued Member
United States
309 Posts |
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Pillar of the Community
Canada
590 Posts |
http://www.mining.com/2012/04/19/si...ing-to-wane/This link is an interesting read on the future of silver prices. I think silver will go much lower. Simply put, silver is far to volatile to predict. With industrial demand waning and investors loosing interest a downward trend in guaranteed. Personally I don't plan to sell my reserve, but I don't plan to buy any new silver for a while also. I'm predicting a drop to $20 to $25. If the stock market starts doing well and investors need money there will be a glut of bullion hitting the market. Stay out for now.
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Pillar of the Community
United States
1454 Posts |
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2010 was only the beginning of hard times for formerly entrenched politicians. Gosh, I hope so. Congress needs term limits sooooo badly. |
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Pillar of the Community
United States
1454 Posts |
 , Dooby Rak, and thanks for answering my question. You're basically reinforcing my own beliefs, which is always nice. |
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Pillar of the Community
United States
648 Posts |
I buy the dips and even when it dips further, it takes me back further in time where I did not buy, but wish I had. I'm a new comer to the bullion market so it is a bittersweet feeling. I'm in it for the real long term, no rush at all. Let it drop to $5 bucks, I'll buy 5,000 oz's tomorrow and grab some popcorn.  Edited by tripncoins
04/25/2012 9:05 pm
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Pillar of the Community
Australia
7096 Posts |
Anything below $32 is good to me I have also noticed that there are quite a lot of better quality silver coins up for auction on ebay at the moment and multiple listings for the same type of coin. When this happens I tend to get what I want a lot cheaper because there are only so many bidders spending their money  maybe some people are panicking and selling these in fear of a price crash. This all win win to me I'm actually not happy when the price goes up because I have no intention in the short term of selling my stash and am happy to buy at the price as it stands now. I know in the long run the price will go up so till then I will keep buying |
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Bedrock of the Community
United States
10982 Posts |
PMs tend to crest and peak in the fall/winter seasons. Spring/summer seasons normally see a drop.
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Replies: 743 / Views: 51,885 |
Posted 04/25/2012 3:45 pm
