Buy the dip or wait?

Discussion in 'Bullion Investing' started by Gam3rBlake, Mar 30, 2021.

  1. Gam3rBlake

    Gam3rBlake Well-Known Member

    With Gold spot under $1700 and Silver spot under $24 I’m wondering if now is a good time to buy?

    I know no one can answer that for sure since it’s unpredictable but I’m wondering if anyone else is buying this dip or waiting for it to dip further?

    Or should I maybe buy a little now and see what happens?
     
    GoldFinger1969 likes this.
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  3. potty dollar 1878

    potty dollar 1878 Well-Known Member

    No premiums are still way to high.
     
    coinaline and Gam3rBlake like this.
  4. Gam3rBlake

    Gam3rBlake Well-Known Member

    Even with these premiums the lower priced companies like JM Bullion are selling out fast.
     
    GoldFinger1969 likes this.
  5. yakpoo

    yakpoo Member

    Focus on the 10Y Treasury yield and the Dollar Index. As long as they continue to rise, PMs will continue to fall. When they reverse, that's your entry point.
     
  6. potty dollar 1878

    potty dollar 1878 Well-Known Member

    Not really low priced i don't see any 1oz silver rounds/bars e.t.c for under $20 an ounce?because the big suckers are buying hard.
     
    Evan Saltis likes this.
  7. Gam3rBlake

    Gam3rBlake Well-Known Member

    But spot is ~$24.

    I don’t think any company ever sells bullion for $4 under spot.

    I think they always sell for over spot.
     
    GoldFinger1969 likes this.
  8. potty dollar 1878

    potty dollar 1878 Well-Known Member

    That's just my limit i.d.k what yours is.
     
  9. fretboard

    fretboard Defender of Old Coinage!

    True! If you buy bullion and you pay the high premiums, chances are very high you will never see a profit over what you pay. It's a terrible time to buy bullion!
     
    Gam3rBlake likes this.
  10. Gam3rBlake

    Gam3rBlake Well-Known Member

    Well I wouldn't say "never" because over time the spot price can rise high enough to make a profit even with premiums.

    For example in 2015 I paid like $20/oz for silver when prices were around $15/oz and now I can sell those rounds for over $20/oz since it's below spot.
     
    slackaction1 likes this.
  11. fretboard

    fretboard Defender of Old Coinage!

    Times have changed! Never before has there been as many buyers as there are today, it's clearly a sellers market. If I see a rare gold coin, I may buy but not bullion. It's just too pricey for me! ;)
     
    Gam3rBlake and potty dollar 1878 like this.
  12. potty dollar 1878

    potty dollar 1878 Well-Known Member

    Its like what would you rather have a 1oz AGE or a nice double eagle for the same price because that's what there charging!!!!.
     
    Gam3rBlake likes this.
  13. Gam3rBlake

    Gam3rBlake Well-Known Member

    Yeah that’s true. I wanted to get a St. Gaudens Double Eagle but it was like $300 more than an AGE and has less gold. But it was MS62 by PCGS. Common date though.
     
    GoldFinger1969 likes this.
  14. Gam3rBlake

    Gam3rBlake Well-Known Member

    Yeah but I’m saying 25-30 years from now Silver might be $80/oz so even if someone today paid $34/oz today they’d make some money.

    Short term buys are probably a bad idea but I would never deter someone for buying for the long term.

    I read an article today talking about the supply and demand of gold & silver and it made a good point.

    It said that most silver used in industry is destroyed but that most gold is still around today.

    I truly believe if things like solar power & electric vehicles become mainstream the price of silver will skyrocket due to heavy use in those industries.

    I am counting on the global warming stuff to result in more production of stuff like that.
     
  15. masterswimmer

    masterswimmer A Caretaker, can't take it with me

    With your logic the price of silver should have hit the $80/oz in 2005-2010. There was only twice in history that silver ever hit $50/oz. The first time was in 1980, and that time it was manipulated by the Hunt brothers. 25-30 after that would have been the 2005-10 timeframe. Not only didn't it hit $80/oz, it failed to even reach the $50 plateau again. It did however hit $50/oz one other time, in 2011.

    The supplies of silver still unmined in the earth makes it an unbelievably common element. There is no shortage of silver.

    With your quoted statement that in 25-30 years silver might reach $80/oz you've conveyed that you're looking to invest in silver based on a wish and a prayer. Nothing factual suggests, even remotely, that silver will eclipse the already short lived $50/oz it only reached twice (once with illegal manipulation) in history.

    I'd suggest buying silver to satisfy your desire to hold a nice bar of silver. Doing it as a part of an investment portfolio is a fools errand. It's a collectible, nothing more.
     
    GoldFinger1969 and Robert Ransom like this.
  16. Gam3rBlake

    Gam3rBlake Well-Known Member

    You’re forgetting about a little thing called inflation.

    By your logic if we were having this discussion in 1921 when silver was only about $1 an ounce you would say it’s a fools errand to buy silver and expect it to surpass $8 an ounce because there is still plenty of silver unmined.

    Also just because silver is unmined doesn’t really matter. If it’s not profitable to mine it no one will mine it even if it’s there. Or if demand far outstrips what’s being mined the price will rise too.

    But as time has shown silver did not stay at $1/oz. It didn’t just rise to $8/oz. It’s up to $23/oz.

    I buy silver & gold as a hedge against inflation. If tommorow the dollar lost 50% of it’s value all my cash would now only be worth half as much.

    But my gold wouldn’t go down with that. Gold wouldn’t suddenly be half price. Instead the price would double to match the same “value” that it used to have.
     
    Last edited: Mar 31, 2021
  17. mpcusa

    mpcusa "Official C.T. TROLL SWEEPER"

    I think the best idea is to wait, how long
    I can’t really answer that, but setting
    your own goals will help, if your looking
    at silver I think $15 is a good buy back
    in number, it’s at the highest or near the
    highest so not much room for growth.
     
  18. Gam3rBlake

    Gam3rBlake Well-Known Member

    $15/oz might be a long time if ever.

    Even in 6 years ago in 2015 it was at $16/oz. I don’t know if we’ll ever see $15/oz again.

    But I’m wondering about gold mostly. I was thinking of buying 2x 1oz Gold Buffalos when I get paid tommorow morning.
     
  19. mpcusa

    mpcusa "Official C.T. TROLL SWEEPER"

    Oh it will come, allot of people are shying
    away from PM,s and putting there money
    in to Bitcoin and this is affecting the over
    all landscape of investing.
     
    GoldFinger1969 and Gam3rBlake like this.
  20. Gam3rBlake

    Gam3rBlake Well-Known Member

    I hope so! I would love to buy a few ounces of gold for like $1300/oz.

    But if I buy it now I’d have to pay $1900/oz. I’m just afraid when the inflation hits from the trillions of dollars the government plans on printing to fund all these programs the price of gold will rise to like $2,500 and I’ll be kicking myself for not buying at $1900.
     
  21. David Betts

    David Betts Elle Mae Clampett cruising with Dad

    With the price of copper flying watch the miners bust open new mines hence comes record silver this year my guess over the 600m oz average recent years.
     
    Gam3rBlake likes this.
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