TRYING TO "Play the GSR" -- HORRIBLE IDEA

Discussion in 'Bullion Investing' started by goldcollector, Apr 17, 2017.

  1. goldcollector

    goldcollector Member

    Silver tanking bad. Probably going back to the teens soon. I hope Platinum does better. I know Gold will.

    GSR 80

    STILL WAITING
     
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  3. goldcollector

    goldcollector Member

    When Silver starts tanking, the silver crowd disappears quick. I love it​
     
  4. goldcollector

    goldcollector Member

    Screenshot_20200903-224425.png

    Familiar. All too familiar
     
  5. Mr Roots

    Mr Roots Underneath The Bridge

    I don’t think many of us care about the daily volatility.

    Year to date mean more to me.
     
  6. goldcollector

    goldcollector Member

    And you will be no where to be found when your "GSR IN THE 50S" Prediction comes no where close.

    And that Robert Kiyosaki guy that's the same guy who was pumping real estate right before the great recession. Lol.
     
  7. goldcollector

    goldcollector Member

    GSR 81

    STILL WAITING
     
  8. harrync

    harrync Well-Known Member

    There is a reasonably intelligent way to play the GSR - it's called portfolio balancing. You set aside a sum to put in PMs, and pick a ratio of the dollar amounts you want in each metal - say 60% gold, 40% silver. Then you pick an allowable variance - the amount the ratio can change before you rebalance - say, 5%. [The bigger the allowable variance, the less often you have to rebalance.] If your portfolio gets up to 65% gold, you sell enough gold and buy enough silver to get it back to 60%. Or if silver gets up to 45% of your portfolio, sell silver and buy gold. This is done all the time with stocks and bonds; there are even mutual funds that will do it for you. Of course, you might have done better being 100% in gold - or maybe, should have been 100% in silver. But as the saying goes "Prediction very difficult, especially with regard to the future." Portfolio balancing eliminates the need to predict; you are always buying [relatively] low, selling [relatively] high. Note that although you are in effect playing the GSR, you really never need to pay any attention to what it actually is.
     
  9. harrync

    harrync Well-Known Member

    There is a reasonably intelligent way to play the GSR - it's called portfolio balancing.

    I probably should have noted that transaction costs make this impractical for small time investors in PMs. I tend to forget that not everybody deals in 1000 oz silver future contracts. Maybe some sharp Wall Street guy will start a PM fund which automatically rebalances; that would make it practical for the small guy.
     
  10. goldcollector

    goldcollector Member

    So if ratio went up to 65% you would sell enough gold to get it down to 60%, while at the same time buying more Gold the next time you add to the portfolio. Selling and buying at the same time can't be a good idea. Well let me preface that since everyone in this board always buys way under spot and sells way over. And still aren't rich. Go figure that one. Still it seems the smarter thing to do would just buy 100% of whichever metal fell below your allowable variance until you get back to 60/40 or whatever. But this that you are talking about here is something different than playing the GSR.

    GSR 81
    STILL WAITING
     
  11. hchcoin

    hchcoin Active Member

    Every time I look at the GSR I think of this thread.

    GSR 68.50
     
    yakpoo likes this.
  12. princeofwaldo

    princeofwaldo Grateful To Be eX-I/T!

    The GSR is meaningless. All financial measurements are pretty much meaningless beyond how much beer is in the glass in front of you. There is so much excess in nearly everything that the only rational explanation is a currency that has blown-up and been destroyed, but without anyone acknowledging it yet. It's showing-up everywhere, from Bitcoin to medical costs to real estate and stock prices. Check this coin out that sold the other day at Heritage. Has less than a fifth of an ounce of gold in it, they minted 2.9 million of them, and yet it sold for the equivalent of over $61,000 an ounce gold. Why? Because it is allegedly the nicest example in existence. But it's such a common coin, it's like holding-up and M&M and saying, "this M&M is the very nicest one out of a bag containing 2.9 million M&Ms". A complete, utterly, totally, meaningless measurement of value when expressed in dollars!! 20f.jpg
     
  13. Brian Calvert

    Brian Calvert Active Member

    Your right
    Your right about them blowing up the currency. Sad, and one has to diversify to survive this game. The Reddit - walsltreetbets, Short seller debacle is back to the same old thing. The people on the street figured out a way to win and the rich dont like it. They will force people back into their holes and the short selling billionaires will get whatever they want. Things really dont change until their is blood in the street. That will happen because of the greed of the FED Banksters, Medical community, Wallstreet, so much greed to go around. They have destroyed the ability to get a good paying job like 1945 - 1995 and that, you cannot change in a year, or 5
     
  14. Clawcoins

    Clawcoins Well-Known Member

    Ahh ... Short Sellers. Gotta love 'em They have over 100% Shorts on GameStop .. so they deserve what they get.

    It reminds of Herbalife and Ackman (Shorted) vs Icahn (drove the price way up). you gotta love a good fight and financial destruction. But when two billionaires do it it's fun to watch .. when the masses vs Billionaires for some reason it's wrong.
     
    princeofwaldo likes this.
  15. Clawcoins

    Clawcoins Well-Known Member

  16. princeofwaldo

    princeofwaldo Grateful To Be eX-I/T!

    There's talk that Robinhood may end-up in receivership before the weekend is out as a best case scenario. The alternative, a Lehman Brothers collapse on Monday morning and complete pandemonium in the markets.
     
  17. princeofwaldo

    princeofwaldo Grateful To Be eX-I/T!

    There's talk that Robinhood may end-up in receivership before the weekend is out as a best case scenario. The alternative, a Lehman Brothers collapse on Monday morning and complete pandemonium in the markets.
     
  18. baseball21

    baseball21 Well-Known Member

    Not to mention the lawsuits RH is going to be facing, some of which have already been filed
     
  19. baseball21

    baseball21 Well-Known Member

    .
     
    Last edited: Jan 30, 2021
  20. xCoin-Hoarder'92x

    xCoin-Hoarder'92x Storm Tracker

    I noticed silver briefly spiked to near 29 a few days ago. But back down to 26.9.

    At least silver has been averaging mid-20's. We may not see teens anytime soon again. It's exceeded my expectations.
     
    princeofwaldo likes this.
  21. xCoin-Hoarder'92x

    xCoin-Hoarder'92x Storm Tracker

    It hasn't been under 22 in almost a year. I'd say those who bought at low 10's are doing good. It's been averaging around 25 for months.
     
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