GOLD NEARING $4000

Financial security is not here when gold is over $4,000 and, according to the experts, going to be over $5,000.

Gold coins are fun to collect, especially the old ones, but gold does not pay you interest or dividends. It does not buy you shares in a company which is producing innovative products which will turn profits in the future. The only time you cash in is when you sell it.

Gold is supposed to buy you “security,” but I question the security when its $4,000 an ounce. You can overpay for anything, and gold is no exception.

And which currency would the gold fanatics like to use when they sell their gold? Perhaps crypto currency which is based on air just the dollar, which they dislike.

No, these are scary times. It would appear that there are no “safe havens.” I just hope that these gold buyers are not buying it on credit. If they are, they might find that gold is as overpriced as the mortgages which got us into trouble in 2008.

 

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Seems you don't like it when its low and now you don't like it when its high. confusing to me even though sixth grade was the best 3 yrs of my life.

 

I have trouble with ridiculous.

Back when I was assembling a gold type set and a few date and mint sets of gold coins, some would have called me a foolish contrarian.

 

Oddly, I like to look at the Zillow page on our little beach shack. It gives a daily updated valuation. Ever since this crazy PM rise has been going on the property valuation has been dropping.

 

Wait, Zillow lets you view property values denominated in gold?

 

Don't let that bother you. Those Zestimates are all over the place and rarely accurate. It would be interesting to learn the algorithms those numbers are based on.

 

A good TA guy from BTIG was saying on CNBC today that gold was 26% above the 200 DMA.....has usually triggered corrections at that overbought level....his data goes back a few decades, I think the only time the 200 DMA was more stretched would be 1979-80 so net-net...excercise CAUTION.

Longer-term, he still says more upside so buy any dip/correction....IF we get it. Sometimes markets will not let you get in. So far, that's been the case with gold the last few years, no big corrections.

 

These two bubbles are not apples and apples.

But I believe residential real estate (whether vacant land, one's house or rental) acquired with as little debt as possible or simply no debt would be a 'safe haven'. Next would be a good reliable car or two.

The utility of those two items is pretty high for the average/median developed world individual/household.

 

The price of real estate is no bubble in Florida. People are moving to northern Florida in droves and the speculator contractors keep building with no end in sight. It amazes (and saddens me) to no end.

 

There's a HUGE difference between gold being OVERBOUGHT and being in a BUBBLE.

I see no bubble in gold whatsoever. In 1980, gold was up 20-fold in 8 years....was up 175% in 12 months....and was up 30% in a few weeks.

THAT'S a bubble !!!

 

ZING
Heads over to check property values...it's been awhile since I looked.
If it's down why are my taxes up

 

Your taxes will NEVER go down. Zie will eat de bugs and own nothing and enjoy it.

 

Tell me where you get your news without telling me where you get your news...

 

I'll give you a hint.
It's not CNN or Huffington Post.

 

It's best to get off the train before it goes over a cliff.