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Buy/Sell/Hold

Hampshirelad
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Buy/Sell/Hold

#99362

Postby Hampshirelad » November 27th, 2017, 8:52 pm

Wondered what others are doing in terms of PM's

I hold a lot of both Au & Ag.....after 5 years of doing pretty much nothing (except the brexit £ drop bonus) and watching pretty much every other asset class rise, I'm getting pretty hacked off.....

Ag has been particuarly dreadful experience over the last 5 years.........

I used to listen to the likes of Schiff et al and now see them for the snake oil salesmen they are.

I'm nearing capitulation and hating this asset class.

On this basis it must now be a great time to buy.

How are others feeling

CommissarJones
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Re: Buy/Sell/Hold

#99724

Postby CommissarJones » November 28th, 2017, 9:45 pm

Hampshirelad wrote:How are others feeling


You are correct to note that the last five years haven't been the greatest for holders of precious metals, but the period includes part of the decline that followed gold's record high in September 2011, so perhaps bullion was set up for a fall at that point. In any case, looking at a weekly chart of the past five years, I see gold clearly making higher lows out of the bottom in late 2015. That looks constructive to me, although the $1,350-$1,375/ounce area seems to be serving as upside resistance for the moment.

I have no particular plans for now as far as activity, but was having vague thoughts a couple of months ago about maybe buying some silver coins to add to my holding. I view my bullion as a "forever" position, and my motivations for continuing to hold are pretty much the classic ones addressed in the infographic below.

http://www.visualcapitalist.com/billion ... us-metals/

In my case, there's particular emphasis on 1) portfolio diversification (gold and equities have a low correlation, so bullion sits nicely alongside my income-generating stocks) and 2) doubt that the removal of extreme monetary accommodation by central banks will be easy or painless.

baldchap
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Re: Buy/Sell/Hold

#100994

Postby baldchap » December 3rd, 2017, 10:10 am

Buy in small amounts and just hold.

Ag is a waste of time due to VAT
Au on the other hand is a safety net I use, and I don't worry about price fluctuations. If it ever doubles or quadruples this will say more about the health of fiat currencies rather than the price of gold.
I try to hold 10% of my SIPP/ISA in physical Au.
Laugh, tell me it is archaic, I know it doesn't have a yield, but it is my doomsday insurance, and with Corbyn & co on the horizon I am glad I have it.
If I never use it, fine. I'll dip it into in my later years or use it to give someone else a better start.

CommissarJones
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Re: Buy/Sell/Hold

#109121

Postby CommissarJones » January 9th, 2018, 11:22 pm

Gold made another higher low last month, coming down to $1,245 an ounce or so versus $1,210-ish back in July, so bullion is certainly looking well supported at the moment. But it's interesting to me that at the same time, gold recently made lower lows against both the pound and the euro, which leads me to wonder whether the perkier dollar chart might simply reflect weakness in the U.S. currency.

CommissarJones
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Re: Buy/Sell/Hold

#158736

Postby CommissarJones » August 11th, 2018, 12:43 pm

The past few months have been rather dismal for owners of gold, which traded above $1,350 an ounce as recently as 19 April and is now around $1,220/oz. And looking at a two-year chart, gold has definitively made a lower low, violating the pattern of higher highs and higher lows that played out during 2017. So definitely not the price action that I would have wanted.

However, there is a pretty obvious reason for gold's recent weakness, which coincides with a sharp strengthening of the dollar after declines for much of last year. With the U.S. economy doing so well and the Federal Reserve continuing to tighten policy, some kind of upward move was probably to be expected at some point. Not the greatest thing for investors in precious metals, of course, but that's life in the markets.


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