Silver to bottom out soon?

[Renewed Investor]

Hey guys, 1st post on this board.

I got my core stack competed back in 2009 and have been building a side stack that I am flipping by playing the Gold to Silver ratio. I've been looking at the charts and Slver looks set to fall again, do you think I should sell some off to buy Gold? Or do I hold on for maybe another jump in Silver before it bottoms?

Any thoughts/opinions would be appreciated.

 

[Jetstream]

Good you have your core. but trying to play the tops and bottoms of any market - including PM's - is as much an art as a science.
Personally, I think silver has more room below to go yet.

 

[pmbug]

Hi RI, welcome to the forum. :wave:

My crystal ball doesn't tell me these things. I never sell my physical holdings to trade/gamble. I just adjust my buying preferences according to whichever metal I think is the better deal currently. But I'm a curmudgeonly stacker type. There are a few traders around here who play your game with paper instruments and perhaps they will offer their perspectives.

 

[DSAbug]

I don't think you get cute with your purchases. scale in

 

[dontdeBasemebro]

Welcome to the forum!

I'm with PMBug, I just keep some dry powder laying around and catch a nice looking dip of whatever happens to be dipping. I haven't planned out specific ratios or buying schemes, nor do I sell. I do have a few items that are a bit more of a novelty that I might try to sell if we hit a local peak, but that is a rarity in my technique (and I would just buy back in when it drops again).

 

[Renewed Investor]

Thanks for the comments.

I was thinking maybe buying in bulk again if it drops to $26 or below, then swap it for Gold if the ratio drops to 35:1. I think it all depends on how quickly the next leg down in silver plays out. I'm anticipating quite a drop with this being an election year.

 

[ancona]

I will do arbitrage sales when my DCA reaches 100% or better, selling about 20 - 30% of the stack, then buying back when it gets slammed, keeping the arbitrage for other things or just adding to the stack. My last vacation was payed for when I did a nail-biter of a trade with 50% of my physical. It looked like I was going to do an even push for a while, then silver got slammed pretty hard, allowing me to make 4 bucks per ounce after fees.

I haven't done anything that big in a while, and as a matter of fact, imposed a self limitation of no more than 25% of the stack on arbitrages.

I am getting too old for this shit, and probably just need to sit on the stack and stop fucking around with the little greedy shit. All the sweating and worry over five or seven grand just isn't worth it. I mostly just save up the cash for my little adventures now.

 

[mmerlinn]

I think you may have missed the selling time for silver for the time being. At the moment I would neither buy nor sell.

Lowest potential bottom looks like about $29. Anything below 30 is a buying opportunity in my book. I would be totally surprised to see 26 again, but if I did, I would probably try to go whole hog at 5% under market, wait for 34, then sell half of it off at market.

 

[Renewed Investor]

I will buy ETF Shares on teh next big drop, wait for premiums to come into equilibrium with spot price, then sell the ETF and fork out the extra 5% or whatever it may be for physical. I'm gonna get limited mint coins such as RCM Wildlife and Kookaburras.

 

[Jetstream]

I will buy ETF Shares on teh next big drop, wait for premiums to come into equilibrium with spot price, then sell the ETF and fork out the extra 5% or whatever it may be for physical. I'm gonna get limited mint coins such as RCM Wildlife and Kookaburras.

I would strongly recommend not going for anything in the 'limited mint' sphere. You pay a premium for them and rarely, if ever, recover it on resale.
Stick with ML's and Eagles as a first choice.