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 Replies: 8 / Views: 1,962 |
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Pillar of the Community
United States
767 Posts |
I have only been interested in precious metals and coins for a few months now, and I have only bought silver 90% and .999 coins.
I haven't bought any gold yet, because I worry about the stability of it's value. After reading comments made on a youtube video aboutt the possibilty of gold dropping $400/oz I'm wondering what you guys think about it.
That person commenting on the video may have just been an internet troll, but hasn't there been some long running speculation that the price of gold will crash at some point in the next decade?
Scott.
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Pillar of the Community
United States
4333 Posts |
Possibly not a good short-term investment, same can be said of silver.
I own both, but I consider them a store of value.
When I listen to LED ZEPPELIN...so do my neighbors...
Roll hunting since '77
Dirt fishing since '72
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Pillar of the Community
United States
1234 Posts |
Quote:
possibilty of gold dropping $400/oz January 15, 2009... $810.00 August 11, 2011... $1760.00 October 4, 2012... $1791.75 May 23, 2014... $1291.50 April 20, 2016... $?.? as soon as you can tell the future let us know  |
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Pillar of the Community
United States
3789 Posts |
horrible idea for the time being IF you must own gold, buy something that is numismatic, dont waste your time with bullion. There is no clear market direction in the short term and both PMs are stuck in longer term downtrends. Follow a real time discussion here https://goccf.com/t/142068 |
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Pillar of the Community
 United States
767 Posts |
Oh... see, I hadn't bothered to look up the past few years spot prices. A nearly $500 spot change in 4 1/2 years? Woo hoo. Now I think I shall definitely wait a while and watch the prices before purchasing any gold.  I can't tell the future, but it would seem odd to me for silver to drop all the way to $12 or $13. Just my 2 wheat pennies. |
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Pillar of the Community
United States
1590 Posts |
If you had bought Silver in 2007, and then life had kept you away from Coins/Bullion till just now; you would be amazed at the INCREASE of prices since you had lost bought. Easily triple from what it was then.
These current prices are literally a "blip" on the historical Silver Price Chart.
It is all a matter of perspective; aided by how long you have been doing this. Newcomers are shocked at the drop. Old timers have seen this happen before.
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Pillar of the Community
United States
5825 Posts |
If gold goes so will silver.
Another factor is format you buy gold in.
Items form world Mints have a built in overhead.
Those pretty designs cost money to make.
Therefore they cost more per ounce.
All you want is gold bars or rounds AND .999 at least.
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Bedrock of the Community
Australia
21786 Posts |
I have thought that a good strategy is to
Dollar Cost Average,
that is, buy a little at a time over a long period when you have a little money to spare.
Probably a good way to dip a 'toe in the water', without too much financial stress either way.
You have only silver currently. Some money into gold would be a way to diversify somewhat.
Edited by sel_69l
05/26/2014 10:54 pm
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Pillar of the Community
Canada
3049 Posts |
PM's are simply a store of value.. the "up's and down's" are pretty insignificant... an oz of gold 100 yrs ago has approximately the same buying power as an oz of gold today...
Having said that it will very much depend on where you are financially as to what you should be doing with your money for your best results.
If you are young and have a portfolio under 100K look for methods to maximize gains and develop growth... be aware of risk but understand that you also have a luxury of time on your side...
If you're a middle aged and have some responsibilities but are starting to accumulate a portfolio of some size PM's are a good way to secure the wealth...
If you're closer to retirement, PM's are a good way to start extracting investments from stocks and other facets of life and start buying PM's to sell privately to supplement your retirement income...
Sel has a great strategy of dollar cost averaging (DCA) your purchase over a certain time increments (ie. monthly) to make purchases of a certain dollar amount regardless of what spot is....
Over the long run this is a pretty good strategy....
I personally make approx. 3 purchases a year... one almost every 4 months... however if I feel that the markets are trending in a certain way I will adjust my "purchase dates" and amounts accordingly.
I try to take advantage of some of the dips and spikes that have been happening over the last 5 years.. (What a crazy awesome rollercoaster ride it has been!)
Pair that with watching the GSR... and making some good swaps over the last 15 years has netted a few extra ounces here and there... which there's nothing wrong with a few free ounces right?
Gold certainly has some historical ties to the economy in general.... while some people say silver will follow gold.. I say that there is a relationship... but there are a LOT of differences between the two... enough to treat them as two completely seperate entities with respect to investing...
Take your time... learn the ropes.. if/when you're ready to make a purchase .... PLEASE PLEASE post picks of the new shiney... !
Good luck hope this helps.
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Replies: 8 / Views: 1,962 |
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Posted 05/26/2014 12:43 pm
