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 Replies: 14 / Views: 1,227 |
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Pillar of the Community
United States
3670 Posts |
As I got in from my first shift around two, I noticed immediately upon returning home that a 5.9 earthquake hit the east cost, and was felt as far north as Boston an New York. Generally these days 5.9 seems small, but you never know and I have not heard any casualty reports as of yet, hopefully everyone is o.k.....
Also, the recent events in Libya, and the entire world economic troubles combined all seem to perhaps be playing a part in the recent climbs, but to the fall of today, scratchin my head a bit. Probably just due for one step backwards, of the three steps forward one step back pattern it has shown lately....
Any ideas, as I figure a more secure middle east with the recent success of the rebels may have something to do with it, considering they don't turn out to be bigger tyrants than the party they just supposedly eradicated....
I bet many will say way overdue for a price correction for gold an maybe so. Think about this theory, everytime it pulls back 75 or 100 along its climb, people jump back on board as a buying window. It is almost like a stalling technique to keep people buying as it goes up....
So lets say ol John Smith may say...."Hey it pulled back 200 lets get on board while we can, before it hits 2500!" Edited by Silverhawk74
08/23/2011 3:29 pm
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Pillar of the Community
United States
2120 Posts |
Profit taking and price correction.
do yourself a favor and look at the trend on Friday for the week, as compared to last Friday.
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Pillar of the Community
United States
2120 Posts |
Looking at charts it seems like we played with 1900 overnight and this morning, what probably happened, is a lot of trading bots hit their hourly checks, showed a price of >$1899.99 and triggered a sell off. once that happened humans saw a quick drop, afraid the bubble busted and began selling. should level off soon.
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Valued Member
United States
228 Posts |
Silver pulled back today also... I think it is just a minor correction in a general trend upward (for both gold and silver). In order to keep from going crazy with all of the volatility - anyone interested in buying gold or silver should be dollar cost averaging into them... it's too easy to get whipsawed otherwise. As far as the 5.8 earthquake goes - I've got two cats (generally lazy, and normally sleeping), who would sleep right through that one I believe... Course - they are California cats...  |
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Pillar of the Community
 United States
3670 Posts |
All great points Ianmprice, as the round number thing does make much sense as recently posted about in another new thread. So I expect every time gold climbs another 100 we will see similar pull backs, and perhaps a much larger one when it hits 2 grand I would think....
Edited by Silverhawk74
08/23/2011 4:30 pm
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Pillar of the Community
United States
2120 Posts |
Quote:
anyone interested in buying gold or silver should be dollar cost averaging I can't possibly agree with that more. |
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Pillar of the Community
United States
1064 Posts |
All the 'experts' I see on TV say basically the same thing: it may 'correct', and swing a bit, but it will continue to rise in general (not sure how they 'know' that). Persoanlly, I don't see how anyone can afford it!
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Pillar of the Community
United States
1450 Posts |
I love the CNBC talking heads,as gold dropped 1% they are ranting about how this is probably the first step on the drop in gold and how they know a lot of people getting out of gold totally and,blah,blah,blah,ad nauseum. Then they get an analyst on there and they ask them how far gold will fall and most of them laugh and say maybe $200 but it will still be over $2000 by years end. You can just see the change in their faces because they obviously don't own gold and want to see everyone back in equities. I do think a big part of todays drop was new money getting out of metals and back into equities. That is going to be the scenario from here on out,folks trying to make some quick money then getting back out. That is why I don't worry about these drops because the reason for the rise has not disappeared or changed markedly. Many folks think the market has already priced in QE3 expecting Bernanke will announce something on Friday. I think they are wrong and we will see the markets drop again Friday afternoon.
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Pillar of the Community
United States
2120 Posts |
Jack,
Wanna know the sick part?
Gold hasn't really changed in price. It has small swings in relative value in purchasing power, but for the most part it hasn't changed for thousands of years.
It's the Fiat dollar that has been devaluing. I know, we hear it all the time and the term "inflation" has a very numb feeling around it to most people. But literally that's what we're experiencing, rapid inflation.
The best way I always see gold value measured is not in dollars, but in commodities. My favorite being a nice, high quality, Men's Suit or Garment of clothing.
You can find the info all over the Internet but it breaks down essentially that for as long as anyone can remember a high quality Men's suit will cost approximately an ounce of gold, when trending over a period of time.
Bottom line is don't think of PMs in a value of dollars, think of them in a value of purchasing power in a commodities transaction.
Thats how you determine if the value of Gold and silver has risen.
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Pillar of the Community
United States
4008 Posts |
Yeah, Hock, it is pretty clear that the folks on CNBC are basically Wall Street cheer leaders, so anything to do with stocks is great, bonds and real estate are OK, cash is minimally acceptable, and everything else is not. Wall Street's problem with gold is that when people buy it, they tend to hang on to it for a while. That money is lost to those who would "invest" it and live off of the commissions that it can generate. Gold only generates a single commission and then it is gone from their reach, probably for an extended time period. They don't much like that, but....  My thought is that today was not at all about gold or silver. It was ALL about the fact that there was virtually NO bad news out there at all, so some of those who had bailed out of stocks and into metals or cash were coming back into the stock market. To do that, they probably had to sell some of their metals to raise cash for their buys. No one knows whether or not this is the start of a trend or a temporary blip on the investing horizon. Be wary of anyone who says that they do know.  My guess is that this is not a trend and that gold will resume its upward price moves. Of course, we all know that no investment ever rises straight up. There will be some downs to go along with the majority of ups. This is likely to be one of them. It could also be a decent place to buy in once gold establishes a new temporary price floor. Any guesses as to what what would be? Probably around $1750 would be my guess. |
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Pillar of the Community
United States
4008 Posts |
Quote:
I noticed immediately upon returning home that a 5.9 earthquake hit the east cost, and was felt as far north as Boston an New York. Generally these days 5.9 seems small, but you never know and I have not heard any casualty reports as of yet, hopefully everyone is o.k..... Yeah, Hawk, that was quite a surprise. The East Coast folks don't get much geologic activity... unlike us West Coast folks... so it is quite a surprise for them. A 5.9 isn't much of a quake but it can do some damage, mostly from falling brick building facades. Like you, I am glad to hear that there were no serious injuries or deaths from this. There certainly could have been and it is usually the elderly and the very young who have the biggest problems from such things. With that out of the way, we westerners are not all that impressed with a 5.9 quake, having had MANY quakes of that size and larger. The worst one I was in was a 6.7 several years ago. That was a long steady rolling / shaking motion with visible ground motion. It lasted for about a minute and a half to two minutes. All of the cars in the company parking lot with alarm systems were bouncing up and down as their alarms went off and lots of small items in the building where I worked were clicking and tinkling. A few of them fell over but the damage was minimal. There were a few new cracks in some building foundations, sidewalks, and patios. A couple of old buildings lost their chimneys and some of their brick fascia but that was about it... thankfully! For any of you folks who have never been in an earthquake, it IS a scary thing to have everything in motion that you normally consider to be solid. The ones we get here seem to be of two types... one is a very rapid vibration, almost like a BUZZ! while the other is much slower wave-like motion. Most of the time, there is very little motion, just some glassware tinkling and some ceiling lamps swaying back and forth. Yep, this old Earth is not the solid steady place we often think that it is!  |
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Pillar of the Community
United States
1026 Posts |
Well as for the earthquake on the east coast I live in central PA did not notice anything myself.
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Pillar of the Community
United States
667 Posts |
I got rocked today - was pretty cool for the fist time. It was an nice roll. Glad I wasn't closer.
Markets go up an down, profit taking, stock market had a good day, Libya oil may be flowing soon, Earthquake did no major damage,Obama is on vacation and did not do a TV speech, Biden is out of the country who knows what else.
In retrospect nothing took place or happened that is out of the ordinary in the market price of PM's. You should be use to wild increases and swings down as this market keeps trying to find where it is going.
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Pillar of the Community
United States
667 Posts |
I can confirm portions of Pa did rock and do a little roll today. I have brother in the Lancaster area his office building was evacuated. A sister in law works in Johnstown they felt it really nice as the building did a few jumps. I am somewhere in between and I felt it as I thought maybe I was having one of those aging things going on. But no I wasn't moving just the chair was.  |
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Pillar of the Community
United States
830 Posts |
Edited by GoThunder
08/23/2011 5:45 pm
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Replies: 14 / Views: 1,227 |
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Posted 08/23/2011 3:19 pm
