Gold and/or silver. Anybody hoarding, buying or partaking in these markets lately?

[CashGap]

Originally Posted by Zed Homme

Valid points, but I still disagree. The price of gold was below 300/Oz less than ten years ago, and while it is no secret that major global currencies are in trouble, I don't think they're in that much trouble. The driving force behind gold's incredible rise the past three years have little to do with the actual use of the metal or it's supply. However, national banks (like china) are stocking up as a hedge against the dollar. Also a very large amount is going to the creation of etfs which will be sold to small investors that are wary of the dollar or stock markets. As the price has been rising the demand for these etfs has grown hence my belief that a bubble is forming. Of course this is just my opinion and if I knew things with more certainty, I'd be arranging now to short the metal. Problem with bubbles is we can never really confirm they exist till after they've burst. Nor can I tell you how much farther the metal is gonna rise till the bottom falls out. I couldn't confidently recommend a hold or a sell, but I think the moment for entering this market has passed.

Good points, but they draw me to the opposite conclusion.

Wise banks are dumping dollars for gold. They will not reverse. Physical holders of gold are selling ETFs to those (see above) who won't hold gold for some reason.

Now (cough cough mortgage crisis) far be it from me to say that OBVIOUSLY we'll eventually find out that the ETFs have sold the physical gold more than 1.0 times, but it sure seems obvious. At that point, gold will rise from these doldrums to it's true value, as folks scramble to never again hold "a promise of gold" when they could hold the real thing.

My $.02.

[etp095]

Originally Posted by dbarberic

I started buying into gold around 2005 in the ~$400-$500 range and quit buying with my final purchase at $760/ounce.

Silver I've been buying since around 2008 in the $7-$10 range with my final purchase at $15.47/ounce.

I own physical, CEF (Central Fund of Canada 50/50% silver & gold), and Fidelity's Gold Sector Mining fund.

Nedless to say, I've done very well with all of them and has been the single greatest investment I've made in my life. I still own it all and have not sold a thing. I've never had any other investments with returns greater than 100%.

I'm still bullish on both gold and silver, but I'd be nervous about buying in at these levels. The precious metals market is very volatile and its not uncommon to have price corrections of 20% or more in a single year. It requires a stong stomach. My low buy in means that I can sleep more comfortably at night even with the high volatility.

As a side note, my personal target for gold is $1,650 and silver $50. At that point I will probably sell half of my holdings (returns my original investment plus a gain and leaves some more in the market to capture more speculative gains).

Is your personal target still $50oz,considering the gains in silver this past week?I've seen many posts and spoken to a few people that have $50oz as their target price to sell,wonder if that will be the time to sell.

[tnt]

Originally Posted by tnt

Will exit out when gold touches $1725/oz.

No silver for me.

If there is more room to go up, I would say gold.

I think, platinum would be next leg for investment, if later in their findings that there are more demands for it. Not counting they do ever use for currency trading or not.
what I can foresee is platinum probably 1 and 3/4 to double prices of gold in future.

Anything rare on earth, that would definitely increase to skyrocket especially things that grand advantages.
birth > dead => over population -> which certainly produces more demands.

I was 4 days ahead of JP. Morgan

http://seekingalpha.com/article/2632...sical-platinum

[CashGap]

Originally Posted by etp095

Is your personal target still $50oz,considering the gains in silver this past week?I've seen many posts and spoken to a few people that have $50oz as their target price to sell,wonder if that will be the time to sell.

I hope you are right, sellers at $50 could temporarily lower the price and give another great entry point for a brief period of time.

[Warnsboy]

Silver is trending like 1978-1980. This was the last time silver made the longtime "Rule of 16" (16 oz silver = 1 oz gold). Industrial demand and countries printing currency to cover debt have it headed that way. IMO

I just spent my watch fund on US silver dollars and halves at 10% off equivilant market.

[Art 1]

Originally Posted by CashGap

I hope you are right, sellers at $50 could temporarily lower the price and give another great entry point for a brief period of time.

I have a bunch of old silver coins purchased when sliver was 5 or 6 dollars. I may get rid of it now.

[springer]

Silver is up over 50% since the first of the year. I'd say now is a good time to take some profits if you hold physical silver. It has been on a tear the past couple of weeks especially, and is sure to correct. As of 4/22/11, it was at $47. The word on the street is "it will correct soon, possibly as low as $30, but that it will surely drop into the mid-$30's range for sure. Based on the past history of the markets, I tend to agree and dumped about half of my silver yesterday. After the correction, it will be a great time to buy again.

[tnt]

Originally Posted by tnt

Quote:
Originally Posted by tnt View Post
Will exit out when gold touches $1725/oz.

No silver for me.

If there is more room to go up, I would say gold.

I think, platinum would be next leg for investment, if later in their findings that there are more demands for it. Not counting they do ever use for currency trading or not.
what I can foresee is platinum probably 1 and 3/4 to double prices of gold in future.

Anything rare on earth, that would definitely increase to skyrocket especially things that grand advantages.
birth > dead => over population -> which certainly produces more demands.

----

I was 4 days ahead of JP. Morgan

http://seekingalpha.com/article/2632...sical-platinum

I was 4 days ahead of JP. Morgan

http://seekingalpha.com/article/2632...sical-platinum

http://www.martinarmstrong.org/files...05-06-2011.pdf

[Boopie]

I just buy 2 new Silver Eagles each year, one for each kid. I have been noticing the price going way up.

Gold is enticing but I'm too risk averse to dive in.

As an aside, I am a small-scale coin collector, and have noticed that copper has gone up so much that many are melting down pre-1982 pennies (when the US Mint went to copper-plated zinc) because the melt value is apparently 2-3 cents worth of copper for each cent. There is a website indicating what the "melt value" of various old coins (e.g. silver dollars, half-dollars, etc.) is by type of coin and age.

Also, unfortunately, many copper or bronze statues, light poles, and plaques around L.A. have been stolen recently, presumably by those wanting to melt them down.

[unclesallie]

Originally Posted by CashGap

What you describe could be a bubble, or simply a failure of price to rise as needed with demand increases in order to reach a price equilibrium.

A bubble is defined as sustained increases in price beyond intrinsic level, but that assumes that the unit of price is not rapidly devaluing as most currencies are.

So one contrarian view is that the price of gold is NOT dramatically rising, rather, that confidence in currency is rapidly falling and reflected in the amount of currency required to purchase a constant value of gold.

So while I don't think we are in a precious metals bubble, it remains to be seen if currency is in a panic or if it is seeking its new equilibrium.

Sam:

I agree. The sell off in Gold and Silver is reportedly due to large speculators having margin calls(which have gone up), not being able to meet them, and being forced to sell, rather than any fundamentals being affected. I cannot speak to silver at all, but gold is not in great supply, the Central Banks of the world have been buying at record levels, the costs to mine gold are constantly going up, and so at least as to gold, it is a legitimate reserve currentcy, and its fundamentals are extremely strong JIMHO, and will go up. I'm with Anastasios on this(he thinks gold is going to $3k/troy oz.).....now, if I could just pay my rent.

[tattooedfagin]

just managed to shift my stash of Silver late last week, a few hours prior to the price dropping by about £180 a kilo a good result

[tnt]

am expected silver to be dropped $21 - 28.
I look forward for 21ish - 17

grasp gold as much as you can.
of course, my expensive 1/2 penny

platinum will be the next running leg.
believe it or not? up to you

[Gretsch]

I just picked up some silver today. Eagles running $5 over spot,Leafs are ~$4, and bars are $2. I had a hard time finding a dealer with anything in stock. I think this is a short term drop and we're seeing profit taking and margin call selling activity. I'm in for the long on precious metals.

[springer]

Originally Posted by tnt

am expected silver to be dropped $21 - 28.
I look forward for 21ish - 17

grasp gold as much as you can.
of course, my expensive 1/2 penny

platinum will be the next running leg.
believe it or not? up to you

Maybe $29 or $30, but you won't be seeing any $21 anytime soon!

[Ed Rooney]

I have a large holding of Forever stamps.

[springer]

Originally Posted by Ed Rooney

I have a large holding of Forever stamps.

I heard today that the USPS in one billion in debt. You have much more buying to do Ed.

[springer]

Originally Posted by Gretsch

I just picked up some silver today. Eagles running $5 over spot,Leafs are ~$4, and bars are $2. I had a hard time finding a dealer with anything in stock. I think this is a short term drop and we're seeing profit taking and margin call selling activity. I'm in for the long on precious metals.

Good for you. It is not a market for those with weak stomachs, that is for sure. It had to correct as it went up way too fast. I bought some Englehardt and J&M bars this week at $1.50ver spot. It is a great time to buy silver with the prices down right now. Hang on - the ride is just beginning.