Posted on 01/01/2011 2:41:10 PM PST by An Old Man
Bears are by nature cautious and while caution can be an ally, it can also be fatal where bold action is required.
It is understandable that investors who believe in paper money and paper-denominated assets do not understand gold. Gold, after all, is the natural refuge of disbelievers in the current financial paradigm; and, as today’s credit and debt-based paper markets come under increasing pressure and gold moves increasingly higher, most “paper bulls” remain increasingly perplexed.
In October 2009, when gold had again breached the $1,000 level, investment advisor Chad Brand warned investors not to jump onto “the gold bandwagon”. Unfortunately, for Mr. Brand’s clients, it was the time to jump—and still is today.
From Chad Brand, Seeking Alpha, October 7, 2009: http://seekingalpha.com/article/165317-gold-prices-a-familiar-trend
Here is a 35-year chart of gold prices. Based on what you see, would you want to jump onto the gold bandwagon?...I am bearish on gold over $1,000 per ounce and this chart is a good reason to at least be careful with the current precious metal of choice. The latest trend looks very familiar…
Chad Brand is the President of Peridot Capital Management LLC, a paper money advisory firm; and fifteen months after Mr. Brand cautioned investors to avoid the gold “bandwagon” gold is now $1,400, a 40 % gain. My advice: Avoid gold bears. They’re dangerous, especially now.
This is an Except, Read more here
Any predictions for oil?
Perhaps he isn’t - but there are many who could. There are plenty of pundits out there including on Fox Biz who are saying gold will be down 15% by the end of 2011.
Relative to the metals oil is cheap. So if metals go up 20%, then oil should go up 30%
And silver was up over 80%
Did you borrow that from obamas play book? He was talking about $5 gasoline just the other day.
People who know me would not stop laughing if I were caught reading Obama’s playbook.
Obama is reading Jimmy Carter’s playbook on how Jimmy dealt with raging inflation.
And we all know how that worked out for Jimmy. Don’t we?
QE is what is filling the “bubble” so fast.
Heck, I'm up 200% on silver alone in less than a year!
Let's just hope Cramer doesn't recommend metals, or we're toast.
You had better enroll in a class in basic mathematics.
You had better wipe that lipstick off before your puckered lips approach my behind.
What was SLV the first week of Feb 8 2010? If you said $14.75, you are correct.
What was SLV close on Friday? If you said $30 and some change, you are correct.
Who needs the math lesson, Presbian Disorder?
“Heck, I’m up 200% on silver alone in less than a year!”
_____
Rather than be insulting you may want to recheck your mathematics.
“”What was SLV the first week of Feb 8 2010? If you said $14.75, you are correct. What was SLV close on Friday? If you said $30 and some change, you are correct.””
I believe the example you have offered is a 100% increase and not the 200% increase you claim it to be.
perhaps he’s using borrowed money for leverage? or faulty math?
FYI in the interest of clarity, with no insult or slight intended.
In worldwide standard use for over a century.
Gold is AU.
Silver is AR.
Bronze is AE.
When governments of the world are buying gold, lookout above.
High price of oil will confirm the worthlessness of the US$ and the price of gold will confirms both of them (oil and the dollar).
ETF for commodities have been discussed already, not a long term hold. Buy the source(s).
Always have some of the REAL thing (precious metals) on hand. If everything collapses, you’ll need something of value to bargain with. Heck, you’d better have plenty of food, water, and even seeds [!] — and LEAD — as they will be of more immediate and practical value at that point...
But in the meantime, a portfolio that looks at commodities like precious or industrial metals and mining, agri-business and foods, and energy resources, utilities and delivery — and even exploration, discovery and land trusts for those purposes — are possible profitable investments.
Once hyperinflation ever does hit, it will be a matter of timing — and prayer — to figure out when to “cash out” the paper investments and use whatever resources one has to make the best of where one is in life. And if anyone has any suggestions or tips on “timing” when that right moment will be, PLEASE post them! I can’t be the only one who’d like to get some better ideas!
Ummm, use it as what it really is: Money.
Keep in mind FDR’s seizure laws are still on the books.
Rather than be insulting you may want to recheck your mathematics.
“”What was SLV the first week of Feb 8 2010? If you said $14.75, you are correct. What was SLV close on Friday? If you said $30 and some change, you are correct.””
I believe the example you have offered is a 100% increase and not the 200% increase you claim it to be.
You're the one who started the insult fight, Presbian.
I've made a 100% profit in less than 12 months.
My SLV trading account's value is 200% of what it was in Jan. 2010.
And I venture my math skills are significantly more advanced than yours.
Don't start an insult fight with someone who revels in the exchange, and whose skills surpass yours.
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.