Selling after any "eek" is generally the wrong thing to do. (I know what you meant, but the typo actually sheds more light on the question.) Fundamentally, nobody can be sure whether the price is done dropping yet. But after sudden, precipitous drops like this, it's common to see a bit of a bounce back. I'm holding, and maybe buying a bit more -- but I wouldn't be surprised by either $25 or $45 silver in the next month.
The bottom of this cycle seems to have passed already. I would wait a bit, because I think the banks that sold to drive the price down are going to go the other way. The big boys don't make money with a stagnant price. It has to move. When it's upward, buy early. When it starts down, buy late. The reverse holds true for selling. IMHO gary
I have never understood this. Everyone wants to buy silver when it's $45-$50 per ounce...but now that it's $35, everybody is trying to dump it. It just seems backwards.
Unless one is psychic there is no easy answer to this. I mainly keep a strategic ASW level for my inventory. I still am buying slabbed ASE, Mod Commem $, and modern silver proof sets whenever I can get them at BV + $10 or less. The lower silver prices have made them cheaper. I retail a lot of this material at my shop and at shows. I just average inventory pool cost and go with the market flow.
I think it has to do with human nature. Like sheep, humans panic easily - they panic trying to get in or out of the market and thus, make irrational decisions
