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Gold/Mining/Energy : Gold Price Monitor -- Ignore unavailable to you. Want to Upgrade?

To: Michael Olds who wrote (29190)	2/28/1999 6:13:00 PM
From: IngotWeTrust	Read Replies (1) \| Respond to of 116791

That question, Michael will be answered by how well the backorders get filled and fed into the wholesale channels, these next 12 weeks. You know, all of life is an elliott wave traceable phenom, even premiums in silly places like US$1 silver eagles. That sag due to increased deliverable supply will be the commonly recalled wave II, and may retrace all the way back down to current bullion prices. Then, YES, I fully expect them to rally again into the season where limitations on Bank withdrawals of cash are actually dropped from the 200-300 range to $25 per day or every 2 days ATM restriction OR from the teller's window. Then ALL the metals will rally, but you will have lost your 1st and in my opinion BEST chance to take the premium, buy cheap gold or cheap silver with it and better your own personal holdings. Let's use some whatifs, ok? Let's say you bot YOUR silver eagles at $6.50 per, which isn't a stretch. Now, let's say you have 1000 of them, or $6,500 tied up into them. AND MIND YOU, this is a RETAIL PRICE you paid for them. Now, you can eBay them acc'd to scotty in onsies and twosies for $10 per and take your chances that you can move them all before the mint catches up on backorders (they've been stamping US$1 since FEB 5th, remember) and thus refilling the wholesale pipeline. So, maximum, you get 1,000 x $10 per for a pleasant $10,000, a 53.8% return in just a few months. Not shabby. Now for your $10,000: 1)you can replace those 1,000 ounces at 5.90 per in silver in a different form, give or take a few dimes to a dollar. Worst case, let's say you spent $6.25 to replace those silver ounces. So, now you have your original intrinsice 1000 oz and $3,500 spare change, OR 2) you can buy $10,000 worth of silver in another form and let silver be the thing that makes the move instead of the gov't minting schedule and jobber blanks supply crunch dictate price... So, NOW you have 1600 oz of silver, if your desire was to accumulate silver in the first place. OR 3) you can repurchase your Silver stash ounce for ounce, only paying $6.14-$6.25 for it in our hypothetical illustration, and hold the $3,500 for buying more silver eagles and playing a second time when the demand again overwhelms the supply, knocking down the premiums to competitve levels with ordinary price of silver. OR you can sit there, do nothing and play the shudda/cudda/wudda game and still have your same 1,000 oz of silver eagles and WONDER if it will go up again and give you a second chance to grab a premium. IT all boils down to 2 things in my mind: 1) why you bought them in the first place, is it still a valid reason and you are glad you've "got yours and got'em cheap" 2) if you want to gamble/speculate whatever you want to call it and make it grow another 53.8% in a few weeks just in shear number of ounces. If you look at your reason for buying them and remember saying to yourself, darn I wish I could afford more silver, but this is all I can sink into this, then for god's sakes, CHANGE THE FORM and grab more silver. If you've got'em early and got'em cheap, then be grateful and do nothing. All in personal motivation and how well you can discipline your own greed for the sake of "winning one"... It's a real easy choice for me, since I'm a dealer and know an infinite number of places to get gold and silver in a variety of forms on the wholesale player level that I operate on. However, for the working stiff who maybe a ditch digger or a lawyer, it is a lot tougher to answer the nubbin of the question: why did you buy them in the first place? O/49r