NOW what the f**k is going on with Gold/Silver-?
Posted May 29th, 2008 by LibertyBaby
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Okay, I am beginning to lose my mind now (as well as a large chunk of my savings). For 3 months now, I sat on my hands as Silver plummeted from $21/oz all the way down to $16/oz, and Gold from $1030/oz back down to $850/oz.
Despite record Oil prices, record inflation, record debt, and record declining value of the U.S. Dollar, what should have been going up in contrast was instead also going down.
Finally, in the middle of May a glimmer of hope. Silver bounced back a little from $16/oz up to over the $18/oz mark. Gold got up as high as $930/oz. It looked like there might finally be some sustained upward movement in metals (commodities) that would finally help to erase the huge (on paper) loses of most of my life savings.
Then, in just the last 3 days, the bottom totally drops out all over again! why?. What the hell is going on? Silver is crushed all the way back down to the $16/oz terroritory again. Gold has nosedived back to the $800s/oz. And all of this in just a mere 3-4 days (erasing the multi-week climb back to respectability from the earlier lows).
What the heck is going on?
How can commodities lose 20-percent of their value, in these so obviously troubled economic times?
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Well, CHECK THIS OUT!
http://www.youtube.com/wa...
"first by inflation, then by deflation, the banks...will deprive the people of all property" -Thomas Jefferson
Read the Aden sisters
they are the best at big picture.
If you are not a trader you should NOT trade....if you do, the traders will get your money.
You want to see some misery?
A whole lot of guys shorted oil at $100 a barrel. the shorts in the oil market have been getting creamed for a year now.
Learn markets before you risk savings on commodity buys. NEVER buy a graph that is peaking...(look at oil)...walk away.
I like the Aden sisters too!
I like the Aden sisters too! they have been around for a while!
as for me and my home, we shall worship the LORD
good advice!
Richard Russell snippet
Dow Theory Letters
May 29, 2008
Extracted from the May 28, 2008 edition of Richard's Remarks
Gold down, silver down, oil down (maybe), copper down, sugar down, cotton down, rice down, wheat down, CRB Commodity Index down -- what the devil is going on? Is the world deflating? Or is the world just taking a "time out?" My guess -- a time out. There were too many up-spikes, too much leverage, too much hysteria, too much hype. Give it a rest.
Gold -- Worried about gold? Don't be. Like most of the commodities, gold is "cooling it." The correction continues in gold, and we can see it clearly on the weekly gold chart below.
At its March high gold got too far away from its 40-week moving average, and now it's letting the 40-week MA catch up to its current price. The weekly histograms are now close to turning up, and the slow stochastics at the bottom of the chart appear to be scraping the bottom.
Personally, I'd buy gold here before I sold it. I think we saw the low for gold on May 1 when June gold hit a low of 849. The 40-week moving average for June gold stands at 843. So 843-849 -- that should be about the low area for gold.
Sit tight.
Get some sun.
Stop worrying.
Are we becoming apathetic again? Is gold more fun than
freedom? Murray needs to win on 6/3 and he needs donations.
http://www.dailypaul.com/...
Do you think it's so easy to keep your gold just because you bought at a lower place? What good is gold without LIBERTY!
"first by inflation, then by deflation, the banks...will deprive the people of all property" -Thomas Jefferson
First of all, you made the
First of all, you made the mistake of buying at the top. You should buy on contractions during the bull market, it's a common mistake for people to only be confident enough to buy when it's all the rage, only to see the inevitable correction and freak out.
Second of all, even with bullish fundamentals, gold and silver will see volatility. You need to understand this and stop looking at short-term performance. Instead of freaking out and selling for a loss, the bull market will SAVE YOU if you wait. These are the times in the bull market you have to be looking to add to your position, not selling.
I do not care how far it
I do not care how far it drops. I will continue to bet against the dollar. Only if there is deflation, the dollar will be king. Temporarily.
as i have posted before...
silver could pull back to $15.70-ish an oz. or into the $15.50 an oz range. Silver and gold have been range bound now for a couple of months. i'm buying between where we are now, $16.70 oz - $15.50 oz. on the bottom of this price channel. anywhere around $16.00 oz i buy some more. when we break above $20 an oz in silver again and blow out of this range channel that silver is trapped in for the moment...it will fly up. but anything below $20 oz is probably a safe buy. you will get more ounces per dollar if you buy at the bottom of the range though.
be blessed.
i guess i bought really well
i guess i bought really well since my average purchase was at the bottom of the range around 5.50 per ounce huh!
as for me and my home, we shall worship the LORD
yes...Sierra...
you did Very Well...now why are you always trying to pick a fight with me?
what year would you like to talk about? this year or 2 years ago? i don't think anyone lives in 2 years ago time...but the here and now.
and trying to purchase at
and trying to purchase at the bottom of the range and trying to figure the bottom of the range is like trying to pin a tail on a donkey blindfolded! all you have to do is understand that because of the government overspending--- warefare and welfare- and the federal reserve printing press running so hard smoke is coming off the bearings. you know that 3 to 5 years from now silver will be much higher.. and if you would just go read Ted Butler like I have begged and pleaded with everyone for the last 6 months you would understand that there is so much more to the silver equation then just the economy and the devaluing of the dollar! good advice from Ted Butler here! http://www.investmentrari... Christopher... go read Ted butler.. you will have atleast a full week of reading.. then tell me where he is wrong. same with Jim Sinclair!
www.jsmineset.com as I have said before.. all this trying to guess where the price is going and when to buy and when to sell is small potatoes! you have to understand the long term trend not the short one.. anyone who purchased silver at 21.00 bucks will look back in 2 to 5 years and say.. DANG i shoulda bought more! give the analysis stuff a break ! look and see what gold and silver has done since 1998 till today.. not what it did 2 months ago.. the trend is your friend...
small potatoes???
use your calculator and figure this then. if i am spending $10,000 to buy silver with, how many ounces would i have at $21 an ounce, and how many ounces would i have if i bought at $16 an ounce??? and when the price per ounce goes up to $50-$70-$100 an ounce what would the value in dollars be between the 2 purchases?
then tell me which is wiser.
As long
As long and the price of silver is down I will keep buying and holding; taking as much silver off the market as I possibly can, doing my part to drive the price up. Be patient if you can afford to.
Dumping of the dollar
Gold has jumped from around 300 to where it is now in less than a decade. I don't think this is anything to scoff at.
However, it is still going to go up because of foreign nations that will begin to dump the dollar. Other countries that used our dollars as international currency are realizing they will inherit our problems if they keep bailing us out by accepting our worthless paper. If you want your confidence in gold back then research the countries, especially OPEC nations that are moving out of the dollar. Also, remember that China can break us but not the people who own gold.
Hmm
What pray tell does this have to do with the revolution and how does this thing keep climbing up the active form ladder? Other than this post asking why it keeps showing up.
lol
lol
I think this issue...
keeps popping up because individuals here are just as concerned about America as Ron Paul is. We know if we do not tie our currency to something of value we will be the next empire to collapse. If our government continues this shell game we will all lose. Silver and gold are valuable.
Well
The good DR. does want to return to a gold standard so i guess it could hold relevance. But this is a selfish post. It doesn't address that. It only goes on to cry and whine about his holdings and why this is happening to him. I hold silver and own 60k shares in a gold mine. Its called going long. But post's such as these belong on a Yahoo Finance page. Not the great Daily Paul.
silver and gold should be seen as long term investments
and as such are great. When you see people "crazed" to make a few quick bucks you WILL see fluctuations. Hang in there^^-only invest what you can afford to save.
some good advice, some bad is what you get below...
so here's mine...for what its worth...
i've been buying silver for several months now, not close to a year, only several months which means my average cost per american eagle was about 20 bucks a piece
bottom line...i am as happy as a pig in well, you know...i FULLY expect it to go to 30 bucks an ounce before the end of the year (time will tell)...just like gold last year up and down up and down then, at years end, BOOM!
let the market correct itself fellow patriot...let the money manipulators buy short, drive down the price so they can buy long and then watch your gold explode
but hey, if you get itchy feet and feel compelled to sell...i'm still buying!
i will tell you this, however, i also buy canned food and ammo to protect my silver
good luck, my fellow patriot, keep the faith and, more importantly, keep your silver (or, sell it to me!)
Me too
My sentiments exactly. I've been letting the daily roller coaster ride stress me out too much lately. Just look at a 5 or 10 year historical chart of the gold/silver prices in USD. I don't think they will stay down for long.
to you panicers! (if that is
to you panicers! (if that is even a word) read Richard Russell!
http://www.321gold.com/ed...
as for me and my home, we shall worship the LORD
"Panicky People" might be a
"Panicky People" might be a good substitute.
Look at this site
Try looking at The International forecaster. This site can explain the behind the scenes games going on in the markets. Hang on to your metals, the best is yet to come.
http://theinternationalfo...
well...
If you believe there is going to be a total economic collapse gold and silver shouldn't be something your putting all your money into, instead I would put a majority of it into buying guns and food as both of these resources will never lose their value. Good or bad economic times will always guarantee you getting decent money off a gun sale and surplus food can you can always eat later on.
I buy Gold, Silver, Lead,
I buy Gold, Silver, Lead, and Bread.
Things are only impossible until they are not.
-- Jean Luc Picard
i'm with you brother! as for
i'm with you brother!
as for me and my home, we shall worship the LORD
Go here
http://www.silverbearcafe...
It has a lot of good advice for those interested in gold investment.
I look at my precious metals
I look at my precious metals as 'safety' as I truly do NOT believe in this fiat money nor do I believe it can long continue. I started buying silver in'03 when it was a tad over $6. When each month ends I get rid of the fiat money by buying whatever silver I can...if I need it what the heck..I just go cash some of it in.
there ya go! good
there ya go! good choice!
as for me and my home, we shall worship the LORD
DO NOT USE MARGIN
Don't use margin and you will be fine in the long-run.
Gold/silver stocks do better than the metals themselves.
Find some miners that don't hedge
The good thing is that you
The good thing is that you will not lose in the long run, metals will always go up eventually. Just dont panic and force your loss on yourself. I imagine the metals market is as infiltrated with market vandals as much as the normal stocks are. Maybe some rich zionist needed some cheap gold to ship back to israel so the price dropped a while. It`ll come back just be patient.
That's easy for you to say. You're not taking the pain.
Metals can go all the way back down to where people don't care about them, as was the case before the war. All it would take is the Fed to stop increasing the money supply, as was done under Reagan to eliminate inflation. This guy could lose everything he owns.
One cannot be a successful trader if he doesn't set a stop loss. You don't just keep holding on while your losing your shirt. You have to admit when you're wrong and get out. You can always get back in at a more rational opportunity.
BillyDee Metals can move
Precious metals can move as fast up as they did down today. And you will be sitting on the sidelines. If you believe in the fundamentals take advantage and buy. I am going to the coin store now!!
It would be quite delusional
It would be quite delusional to expect Ben Bernanke to put the interest rates at 20%+ and stop bailing out banks and people any time soon. It would make the economy collapse instantly as opposed to more gradual as it is now. Either way will happen and you would want to be in precious metals regardless of which happens.
It doesn't have to be all at once
Bernnake can slowly decrease the production of money, and this guy could lose his whole life savings in a slow grind. You have to have a stop loss limit if you trade.
Unless like I said the
Unless like I said the interest rates are far and far higher and the bailing out stops, the inflation and therefor metals won't drop. Firstly this is unlikely, secondly, if it is that slowly you can see it coming way ahead of time, so nothing to worry about. If it is kept like it is now, its all set up for collapse, if the inflation is going to be fought with sudden high interest rates, it will collapse right there, if it is tried to control by slowly increasing interest rates the inflation is not fought enough and it will also collapse. There is no way you are severally losing purchasing power by keeping precious metals, whatever they do.
i did just fine and i'm not worried
I bought in at 12.96, 13.05, and 17.50 ... i too was thinking holy damn whats happening? but the overall trend will be up ... it's a long term investment ... i have no confidence in fiat currency and the commodity trend will continue as they continue to debase the currency. I have a little loss now on my purchase of 17.50 but I'm not too worried ... many world events soon to come and currently going on will push it all back up
remember it's long term ... and you need to do some reading on economics and etc
don't play this like stocks .. if you sweat about losing a few dollars daily and go look at the charts with hype ... your going to flip out ... LONG TERM INVESTMENT .... it's preserving your purchasing power of your hard earned work ...
I feel bad for you and I'm
I feel bad for you and I'm sorry this has happened to your savings. This shows that the old axiom of "don't put all your eggs in one basket" does apply. But don't despair gold and silver will probably bounce back because the underlying fundamentals of our economy dictate some pain on our horizon. Once metals do go back up consider getting any profit out and invest in other areas such as stocks, forign stocks and currencies, bonds etc. All of these areas take a beating at some point and gold shoudl be used as a hedge and a way to hold value against inflation not necesarilly a profit machine. The key is diversity in commodites, stocks, and bonds. Over the long term a wide spread portfolio will make money. I personally have about 20% of my portfolio in metals but if gold drops more I would increase that a little.
Play the game.
Why are you complaining? if the price goes down to $ 500 dollars that would be great for those who want to buy. It means they are dumping gold onto the market to bring it down. Personally I don't buy gold, but that is because I have other priorities. I would like to see silver fall to around $10 dollars an ounce, this means they are dumping silver onto the market, then I will buy. Understand their game.
Should I pay my bills first or should I play the game first? Wha
What do you think? Should I pay off my debts first or should I play the game first? What do you think?
"first by inflation, then by deflation, the banks...will deprive the people of all property" -Thomas Jefferson
You're not serious, are you?
You're not serious, are you? I would never ask a bunch of strangers for advice on critical financial decisions.
The market is smarter than you
There is no single explanation of why gold is going up or down. Each trader makes his own decision on why he's making the trade, and that's what sets the prices. The fundamentals are irrelevant unless you're genius.
The best you can do is ride the trends. When the trend changes, get out. Don't be afraid to lose money. Set stop losses. Take your profit, don't be too greedy. Don't try to pick a top or bottom.
If you allowed yourself to lose most of your life saving, you shouldn't be trading. You have to be disciplined. Set stop losses. Admit when you're wrong and get out.
there are explanations why
there are explanations why gold is going up... its called inflation.. or the devaluing of the dollar. fed monetary supply is over 20%, same for russia and china .. its almost every government.. it is very easy to see where gold will go.. you don't have to be a genius to know whats happeneing.. what you do have to understand is NOTHING goes straight up..some of you people come off in here being expert "traders" you do not know anything when it comes to metals.. Ted Butler and Jim Sinclair are the experts.. read there material and you would know exactly why we had this little correction.. at some point and time Silver will not correct and head straight up. I won't tell you why, you go read Ted Butler then you will know why! the greatest once in a lifetime to get stinking filthy rich will be in Silver! if you think i'm full of it, then you have not educated yourself on the fundamentals of the Silver market! DON'T PANIC.. the short traders are trying to get out of there short contracts before this thing explodes! and invest for 3 or 5 years down the road.. when it comes to inflation and this economy there is nothing bernanke can do except delay the pain a little while longer.. the horse is out of the barn!
as for me and my home, we shall worship the LORD
These times are not as
These times are not as troubled as you've been suckered into thinking.
Stocks are STILL the smartest place to put your money, and in particular into energy and technology stocks.
Gold and silver are a hedge against inflation, they are not the place to put one's nest egg.
Depends on how bad inflation is
If inflation is 15%+ per year then gold and silver would a smart choice for a nest egg for long-term protection of savings.
playing the market is
Fortune Favors the Bold
gambling anyway. gold, despite manipulations, will maintain its value better then everything else. Recall, the value of a particular specie of currency goes up and down, since the measure is against other fiat currencies.
Playing the market has a
Playing the market has a measure of risk, naturally. Do you expect to make money without risk? Simply leaving your money in your bank is also risky. If you are not making money on your money (interest exceeding the rate of inflation) then you are losing money anyway.
There is also a huge amount of luck involved. But with research and some amount of timing, one can do well indeed.
Something a lot of people have been getting into is trading on the FOREX, which for my tastes is too risky and basically amounts to market manipulation.
Liberty, it just occurred
Liberty,
it just occurred to me... this is exactly what the big boys are trying to do to us little fish! PANIC US OUT OF THE MARKET! the metal will flow from weak hands to the strong.. don't let those SOB's make you a weak hand! UNDERSTAND WHAT IS GOING ON! butlerresearch.com
jsmineset.com
as for me and my home, we shall worship the LORD
For your sake, I hope you
For your sake, I hope you haven't placed your family's fortunes entirely in gold/silver/metals. That would be a huge, huge mistake.