Why Gold and Silver are dropping ..., page 13
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reply posted on 11-3-2011 @ 06:35 PM by guessing
reply to post by SaturnFX



it is actually about supply and demand. pretend value is in your head.


reply posted on 15-3-2011 @ 04:26 PM by nh_ee
Remember that gold and silver used in your CPU and the solder connecting all components are why your computer and most all electronics work. This is part of the intrinsic value of Gold and Silver. THey are necessary for all electronics devices.

Why ? Because Gold and Silver are the best electrical conductors. Next is copper.

Without gold connections on your CPU your CPU would not function once warmed up but would only bog down which is why copper isn't used. It simply isn't as good of a conductor. Gold doesn't tarnish and effect it's conductivity as silver and copper can.

There is a continuous demand for these precious metals for the electronics industry alone keeping demand high.

The price of gold and silver are indicative of the weakness of the dollar. Plain and Simple.

As the prices of Gold and Silver go up, Your dollars are losing spending power.

The Dollar is currently at 1.40 Euros meaning each USDollar is only worth about $.71 cents in Europe.
The Dollar is currently at 1.60 British Pound Sterling meaning each US DOllar is worth about $.62 cents in the UK.

10 years ago they were about equal. So all in all we have lost about 30% purchasing power over the last decade.

Had you bought a few Gold Eagles for example, at 1oz each. They were selling for $300. 10 years ago and today are worth almost $1500. each today.

So outside of the Doom and gloom SHTF scenario, had you done this you would have earned 5 times your investment by buying these gold coins back then vs the paltry 2-3% paid by banks on Certificates of Deposits which income is also reported to the IRS and are subject to taxes.

Your gold/silver coins are not.

Gold Bullion coins such as the American Eagle, Canadian Maple Leaf and Vienna Philharmonic are guaranteed to be 99% pure gold by the Mints.

American pre '65 silver coinage are 90% Silver AND are still legal US Tender.

The Tungsten filled bars were some of those used by banks for settlements/exchanges between banks and were discovered when assayed between bank transfers which is required.


reply posted on 15-3-2011 @ 11:02 PM by Dance4Life


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I am going to nut if we do indeed fall back to 28 range. I am almost willing to put my life that 28 is the absolute bottom in Silver for long while.



reply posted on 15-3-2011 @ 11:12 PM by Dance4Life
reply to post by JR MacBeth



That was such a money spot. Too bad I don't have the margin to just play any call I would like. If I did that constantly I would be broke. That is for certain. Sometimes you get lucky.

I already stated it, but I am going to actually go out and try to secure some money from outside investors if this happens. I hate to say it looks like it would be risk free from that position @ 28
edit on 15-3-2011 by Dance4Life because: (no reason given)



reply posted on 17-3-2011 @ 09:55 PM by JR MacBeth
Originally posted by Dance4Life
reply to
post by JR MacBeth



That was such a money spot. Too bad I don't have the margin to just play any call I would like. If I did that constantly I would be broke. That is for certain. Sometimes you get lucky.

I already stated it, but I am going to actually go out and try to secure some money from outside investors if this happens. I hate to say it looks like it would be risk free from that position @ 28
edit on 15-3-2011 by Dance4Life because: (no reason given)


$28.00 would be an absolute gift, and while I think it is unlikely, with silver, anything is possible.

At this point, I have continued to resist the urge to grab some options, but if it went that far down, I'm not sure I could resist anymore. Basic funds are liquid, and prepositioned, but I like your idea of perhaps gathering investors.

I actually do it all the time for family, when I encounter physical gold and/or silver deals out there with virtually no downside. My philosophy is that I don't want to leave money sitting on the table. If whatever it is is too much for my current liquid position to absorb, then I include my brothers. They both have regular jobs, and would otherwise never have the chance to make such returns. We split the profits, and I can tell you that it doesn't hurt my feelings at all to take "only" half the profit on something that I didn't need to fork out my own funds on. Plus, if I didn't nab the deal on the spot, the next guy could/would come in behind me. And that DOES hurt my feelings!

SO, your idea of getting investors together has a whole lot of merit IMO. By the way, I only allow my brothers in when the downside is absurdly minimal. I take calculated risks all the time, but when it comes to family, I don't want any trouble!

But from a technical view, silver will be looking like a "no-brainer" if it somehow manages to get down to that mega-support level.

Again, I'm not optimistic, this bull has been a bit "too" orderly. But this disaster is proof that anything can happen. I'm keeping some powder dry just in case. These situations don't come along all that often!

JR
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