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Scotto
New Member
USA
11 Posts |
 Posted - 03/14/2010 : 11:36:52
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I'd like some thoughtful considerations from our knowledgeable forum base regarding those who are positioned in PM's (particularly silver). If the U.S begins to enter a double dip recession, do you think that silver prices will fall as they did from Sept.08 to Mar 09 or do you think that the public (as a whole) will wake up to the realization that the U.S is in a very bad financial place and begin to learn the value of being positioned in PM's? I ask this because most individuals here seem to be positioned with PM's of some sort and I would like our vast collective knowledge to benefit us. Is there a genuine consensus among us that there will be another "optimal" buying opportunity or has it passed?
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cuneo187
New Member
6 Posts |
 Posted - 03/14/2010 : 11:48:29
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I'm far from an expert but buying some silver each and every month seems good to me...that way you get more when the price goes down. For example you might decide you can afford to invest $500 per month. So every month on the first, or the 10th or whenever, you buy $500 worth of silver. One month you might get 25 ounces, the next month 23, the next 21, and then maybe 24.
I'm trying to diversify myself as much as I can. I have some unopened bricks of $100 in nickels from the bank for copper, some 40% silver halves, etc. I don't invest the same amount every month but I just buy as much as I can reasonably afford, because in my opinion theres a pretty good chance that the next crash will be the "big one" where things really change radically and you don't want to be caught without PMs.
Silver, gold, copper, and other metals might fall in the event of another dip in the economy, but I think it's pretty balanced by the more explosive risk of the dollar being completely destroyed, at which point you're either into PMs and other hard assets or not, and you're basically screwed if you have only stocks/bonds/cash.
A great way to invest in silver is to simply order boxes of halfs and start sorting. Silver at face value is huge. |
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oober
1000+ Penny Miser Member
USA
1304 Posts |
Posted - 03/14/2010 : 13:12:35
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Right now I am DCAing with 75% of my monthly allowance and holding back the rest for a dip, but as we saw in 2008 the dip we had only caused the premiums to go up substantially.
If this happens again don't be surprised that "our" prices will be dramatically lower.
If your in for the long term, don't worry too much about today prices. |
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cptindy
Penny Hoarding Member
572 Posts |
Posted - 03/18/2010 : 20:38:08
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In my opinion inflation alone will push the price above $25 within the next couple years. I look at silver as a long term investment and figure anything priced under $20 bucks is "cheap" considering the information about silver and the fact it will sooner or later be recognized as in short supply.
The industrial uses of silver are growing every year(for example RFID chip production is up 40% this year) and it will not take much for a major company to decide it is time to start hoarding. When they do these prices today will be long gone.
Buy what you can when you can.
Food,Shelter,Protection,Silver |
"It is the nature of the human species to reject what is true but unpleasant and to embrace what is obviously false but comforting"
" The average man doesn't want to be free. He wants to be safe."
H.L. Mencken
http://silver-news-today.com/ |
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Ardent Listener
Administrator
USA
4841 Posts |
Posted - 03/18/2010 : 20:54:02
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quote:
Originally posted by Scotto
I'd like some thoughtful considerations from our knowledgeable forum base regarding those who are positioned in PM's (particularly silver). If the U.S begins to enter a double dip recession, do you think that silver prices will fall as they did from Sept.08 to Mar 09 or do you think that the public (as a whole) will wake up to the realization that the U.S is in a very bad financial place and begin to learn the value of being positioned in PM's? I ask this because most individuals here seem to be positioned with PM's of some sort and I would like our vast collective knowledge to benefit us. Is there a genuine consensus among us that there will be another "optimal" buying opportunity or has it passed?
I have stated here in the past that IMO a double dip recession (it will be an official depression then) will cause a drop in the price of silver.
You can call it a buying opportunity if you like, but you and everyone else may have other needs for that money if such a situation were to develope.
It's not so much a matter of the public waking up as much as it is of playing the cards they will be left holding. |
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Think positive. |
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Scotto
New Member
USA
11 Posts |
Posted - 03/18/2010 : 21:09:38
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| Do you think that if the price fell, it would remain depressed throughout the crisis? Wouldn't there be some flight to the security of the metal or do you think that the value of the metal will only appreciate with scarcity and industrial demand? I'm interested in your viewpoint as many seem to think that the price of silver is on the rise with no looking back to below 20/oz pricing. |
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searching4silver
Penny Pincher Member
111 Posts |
Posted - 03/19/2010 : 07:14:27
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| How else are you guys preparing for the double dip? |
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Ardent Listener
Administrator
USA
4841 Posts |
Posted - 03/19/2010 : 10:06:18
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quote:
Originally posted by Scotto
Do you think that if the price fell, it would remain depressed throughout the crisis? Wouldn't there be some flight to the security of the metal or do you think that the value of the metal will only appreciate with scarcity and industrial demand? I'm interested in your viewpoint as many seem to think that the price of silver is on the rise with no looking back to below 20/oz pricing.
Silver or precious metals in general would gain if or when they started to pump more money into the economy and it actually entered circulation causing those new dollars to compete with existing dollars for the same goods and services.
It never is popular to take the position that silver could tank again. I'm not predicting it will anytime soon, but the possibility always should be taken into consideration. If you want my crystal ball prediction then I would guess that we are more likely to enter a low grade stagflation over the next two to three years. What I mean by low grade is that the recession will hold close to its current level but inflation will rear its ugly head at a much faster pace. It won't be an inflation of a pseudo prosperity though.
My crystal ball sees lower silver prices this summer. It also sees many of us not takeing advantge of it and waiting for an up-swing in the fall before we jump back in buying.  |
Realcent.forumco.com disclosure. Please read.
All posts either by the members, moderators, and the administration of http://realcent.forumco.com are for your edification and amusement only. It is not the intent of realcent.forumco.com or its host to provide investment, medical, matrimonial, legal, security or tax advice and nothing posted here should be considered to be so. All rights reserved.
Think positive. |
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Ardent Listener
Administrator
USA
4841 Posts |
Posted - 03/19/2010 : 10:10:12
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quote:
Originally posted by searching4silver
How else are you guys preparing for the double dip?
Stacking $100.00 boxes of nickels in hiding places.  |
Realcent.forumco.com disclosure. Please read.
All posts either by the members, moderators, and the administration of http://realcent.forumco.com are for your edification and amusement only. It is not the intent of realcent.forumco.com or its host to provide investment, medical, matrimonial, legal, security or tax advice and nothing posted here should be considered to be so. All rights reserved.
Think positive. |
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cptindy
Penny Hoarding Member
572 Posts |
Posted - 03/19/2010 : 10:57:41
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I agree that there will be two forces at work in the coming scenario. When the realization of the fact that the underlying assets are crap hits home it will propel this second dip. But, I also believe that the current rate of zero cannot be held.
If it is to remain so low and I believe they have no choice but to do so it will create an environment in which "change is vital".(Printing more money) This change will be a call to solidify our current monetary currency globally.(As the numbers will be to large to rectify) To do so will be a call to action on a global scale.
A change will occur that allows the U.S. to look like the Global reserve(Or at least be compatible) but without substance. Causing the smooth transition in the name of monetary safety.
No one can predict how a rigged game will end. I believe that PM value will dip to "shake the tree" and remove as many blossoms as possible. (PM Holders) But, the truth is that anything of tangible value will prevail in the long run.
I believe that buying at $18.00 or buying at $10 will not have that much difference in the long term. That is why I feel that anything under $20 is cheap! Attempting to time the market of silver is at best a dream. A stable dollar cost average needs to be used. Find a dollar amount that suits your budget and stick to it. The average purchase price will be in anyone's benefit over the long term. This way you do not miss any down trend in pricing and if so chosen can add to an investment when the price falls.
The important thing to remember is to not over extend your investment that you end up having to sell for the need of the cash.
BUDGET ALL EXPENSES
Make a plan to be financially responsible. Plan your life 12 months out at all times. (Plan for the worst, Hope for the best)Make sure that if some freak occurrence should happen you can eat and sleep without worry.
The current unemployed population will not have a return to prosperity without understanding that things have changed. There will be no boom market return on the horizon for some time. (a return to the past) Find an area you enjoy and have knowledge and start a small business.
Embrace the change, decide the future! Do not expect silver to change your life like the lotto! It may swell and it may not. It will at least hold constant your buying power or assets.
Saving and investing is great! But it does not have the financial reward of running a company, even a small business will survive if directed at the market that is ahead.
Rich and educated peoples will survive and prosper. They will still need all the things that keep them at the level they perceive to be. Baby boomers are now in my opinion the best market to serve any new venture. The amount of capital they hold and the services they will require will be historic. Remember, it is this generation that has catapulted "Mc' Donalds Mentality". (I want it Now!) The desire and expectation that they can have what they want when they want it.
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"It is the nature of the human species to reject what is true but unpleasant and to embrace what is obviously false but comforting"
" The average man doesn't want to be free. He wants to be safe."
H.L. Mencken
http://silver-news-today.com/ |
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Positioning for the double dip recession ???
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