Gold is near all time high

[MOS0231]

Ok. What if you already have everything on your list taken care of? I still maintain that a person should hold at least 20% of their assests in gold/silver. Just like with buying stocks you can do a dollar cost average to lessen the overall cost per ounce. Much of the gold I own cost less than $400 per ounce. Some gold (placer) I have just cost a little time and fuel.
Recently I sold some gold, at a $1600 profit, to pay off some medical bills. I'll probably buy it back within the next few months after the cattle are sold.

Realistically, I do not think I will have everything on my list taken care of.
There are always something I could be doing to better my position.
As I mentioned in another thread, solar, wind and maybe a micro-hydro set ups.
But I do not have that funding as of now.
So I will continue to plug away at what I can do. There are a number of home projects I can do to better my position.

 

[DrHenley]

I think ammo, non-GMO seeds, access to fresh water, sizeable land has more worth.
I can do more with those things to maintain my health than a piece of gold, sitting on the counter, gathering dust.

I took care of ALL of those first.

 

[backandbeyond]

BTW, my "BUY" price for physical gold is $1200 an ounce. My "SELL" price is $1900

It's always good to have a buy and sell rule for any asset you are trading, personally I don't trade gold, I simply buy it and leave it there. It's an insurance policy for me, I don't care if I never make a profit I just don't want to be caught out like all the middle-class folk were in Argentina and Brazil and Greece and a host of other places if you know what I mean. I spend nearly as much over time on motorcycles as I do on gold.

Now looking at my chart again, Imagine that we are having this discussion in 1975. If you were to say your Buy price was $100 and your Sell price was $180, you would never own ANY gold again, because the price never went back to those levels in dollar terms. I say dollar terms because in inflation adjusted terms it did, through the late 80's and 90's.

Of course no one was buying then were they, they were too scared, they had seen the run-up and collapse back. But what they didn't realize is that gold and silver had only collapsed back to a more rational price from the blow-off top. $1500, or $2000 gold, compared to the stock market, compared to Houses, may be the rational price today. All I know is the peoples of Asia and all the central banks are still buying and that's enough of an indicator for me.

You can apply the same logic to buying a house, if in 2012 you were holding out for house prices to retract to, say 2004 levels, you would never buy one.
I'm not saying Gold 'Will' move well above US$2000 in the near future, but the odds are it won't go back as far as many hope. But of course you are trading Gold short term so none of this matters to you. You can simply find something else to trade.

 

[Arcticdude]

Of course no one was buying then were they, they were too scared, they had seen the run-up and collapse back. But what they didn't realize is that gold and silver had only collapsed back to a more rational price from the blow-off top. $1500, or $2000 gold, compared to the stock market, compared to Houses, may be the rational price today. All I know is the peoples of Asia and all the central banks are still buying and that's enough of an indicator for me.

Uh, I was buying gold back then. I never sold any of my bars or rounds until recently. Back in the 70's and 80's I sold much of my placer gold in order to support my family. Over the years I did sell off a few hundred ounces of silver, but bought it all back at less than a third of what it is now.

 

[DrHenley]

It's always good to have a buy and sell rule for any asset you are trading, personally I don't trade gold, I simply buy it and leave it there.

Oh, I only sold a little bit just to make a "withdrawal from savings" to cover some unexpected expenses rather than use a credit card. Most of it is still in the safe.

 

[backandbeyond]

Most of it is still in the safe.

Wise man. You don't need much to protect the downside I always read, the 1/10 rule of thumb always made good sense to me.

 

[backandbeyond]

Uh, I was buying gold back then.

It was a generalization Arct, of course some people bought and sold, but as an investment class it was off the radar whereas in the lead up to 1980 it was in every newspaper. Like tech stocks in 1999, like crypto has been up to now.

 

[Arcticdude]

It was a generalization Arct, of course some people bought and sold, but as an investment class it was off the radar whereas in the lead up to 1980 it was in every newspaper. Like tech stocks in 1999, like crypto has been up to now.

I knew you were talking in generalizations. And thats the problem with generalizations. Many of us typically buy when the markets are low and sell, or hold, when prices are high regardless of what the msm says. I've never bought "tech" stocks and will never buy anything called crypto. The information people need to make wise investment choices is always available for those who want do the research.

 

[Schattentarn]

I just heard Kudlow or someone today say the dollar is surprisingly strong. If the dollar is strong, inflation is a problem and gold is at an all time high, and interest rates are low, I don't have a clue as to what is going on. Gold still seems great---if you mine it yourself.

 

[backandbeyond]

I imagine if you could simply mine or pan out enough to buy a home and a car and save for a pension a lot more people would be doing it. I prefer to have a day job and buy my gold in a coin shop.

 

[Arcticdude]

I imagine if you could simply mine or pan out enough to buy a home and a car and save for a pension a lot more people would be doing it. I prefer to have a day job and buy my gold in a coin shop.

In many parts of the country you can mine enough gold, with the right equipment of course, to buy what you need. I did it back in the 70's and 80's. I got laid off work one time and took out a second mortgage on my house, at 19% interest, and bought a remote placer mine. I had a wife and 2 kids at home. It was a huge risk but it paid off very well.

 

[DrHenley]

Same pattern as above. Precipitous drop in price of gold at the opening of the NYMEX yesterday.
Here is an article about what's going on:
https://www.moneymetals.com/news/2021/02/18/gold-market-manipulation-2021-2-002227

 

[DrHenley]

Gold is edging back up. That means look for a big drop Monday at 8:00 am at the opening of the NYMEX when they try to beat it back down...

 

[DrHenley]

https://www.kitco.com/news/article/...-are-saying-whats-next-gold-and-bitcoin-after

'We are going to war': This is what the charts are saying, what’s next for gold and Bitcoin after record highs – Gary Cardone​

 

[backandbeyond]

Death taxes and War. It certainly looks like we're moving into that 80 year war cycle. The French seem to want to be the first to get involved directly lol. Oh dear, you think they would have learnt from WWI and 2.

 

[ban1985]

Death taxes and War. It certainly looks like we're moving into that 80 year war cycle. The French seem to want to be the first to get involved directly lol. Oh dear, you think they would have learnt from WWI and 2.

The destination of the 2,000 French frog eaters will probably be Odessa, one thing is certain, if they go there death will be waiting for them all. Almost none of them will be found, and if a few are caught alive (which I really doubt) they will be tried in a cage in Russia, broadcast live for all French people.

If it stays that way, the French in France will be lucky if that happens, in the worst case the Russians could send a flying present to France.

We are heading towards dangerous days and as I said, there are enough idiots like Joe in Europe who are out of their minds.

 

[ban1985]

If the store blows up in our faces, in that case I'd rather have lead than gold in stock, the gold will only be worth something again after the war, provided there are still buyers.

 

[Arcticdude]

If the store blows up in our faces, in that case I'd rather have lead than gold in stock, the gold will only be worth something again after the war, provided there are still buyers.

Why not have both? Gold will always have value, even during war time, or especially during war time.

 

[ban1985]

The gold doesn't do me any good if a nuclear missile from Uncle Vlad hits me 30 kilometers away.
I'm not saying that gold isn't worth anything, but at the moment other things have a much higher priority for me, especially if Europe continues to act as it has so far.

 

[Oddcaliber]

I concur with that. Gold is very useful under the right circumstances. During WW2 Germany collected a lot of gold but under dubious manners. Nothing wrong with having gold but make sure your other preps are in order.