For all of you getting nervous about the recent move in gold and silver lately, get used to it. I don't ever expect to feel comfortable during this gold and silver run. Like I said before, don't get out of this until the Gold:Dow ratio is 1:1. You have a couple of options. You can just buy what you like and hold till you see this ratio. Or you could wait for run ups (like we are having now), and then lighten up or hedge some. Or you could wait till great corrections in this bull market and only buy then. I like to have mostly core positions (50-60%), and try to trade or time the rest.
I'd like to share with you an article that I read today about the recent rise in silver and gold since last September time frame. It might really help you if you are trying to squeeze the last juice out of this latest push before lightening up a little or hedging your bets. Give it a good read and decide for yourself.
http://news.silverseek.com/SilverSeek/1301924290.php
Until the next time...
Fiat Doubter
Hola,
ReplyDeleteI think you are smoking some great stuff if you think that Gold will do a 1:1 with the Dow!
I'll play devil's advocate 'cause I like how that pimpin' demon thinks.
Here goes.
If we are in a 17 year 'trading range cycle' for the dow/sp (forget the nasdaq100--that is a different beast); this means we are ranging in the sp500 from 1550 down to 650 ish and the dow ranging from 14.5K down to 6.5K
Now, although the world will end in 2012 (lol) that means we have about 6.5 years until 2017 and let us say that the dow hits a low of 4.5K; that means that gold has to advance roughly another 200%+ higher.
Gold has been rising since 2002 and is in a 9year bull run and has risen roughly 625%+.
That means gold has to rise 2,250% from where it was trading @$200 an ounce in 2002.
I understand that you believe that the dollar is dead and that gold will be re-named and somehow valued as a currency that all other paper currencies will have to somehow be valued against at a future date (a reset, if you will); but if you are right and you do some hedges along the way--my devil's advocate argument makes me look like a punk, eh?
Peace & blessings!
Narc Tsoukalos
You are right with your comments..
ReplyDeleteThe dollar will be worth only in the USA, but no where else.
Sorry you are not alone in this World