Buying in to Gold

tradetime

That Fresnillo is a volatile little devil ST, I shall keep an eye on that one.

sabretoothtigger

Unfortunately I watch a little too much, I dont know if we shall see another chance to buy before it goes ex-div.
I would certainly look to it on any big market drop back, it has dropped to 100 in the past though so they dont have debt problems afaik and are part of a larger company still I think unless it was completely off loaded like anglo did with their gold mine

All miners are bubbling like this afaik.

tradetime

Seems they were involved in a hostile takeover attempt of a Canadian Miner until they abandoned it a few weeks ago
http://www.ft.com/cms/s/0/794fd044-5f8d-11de-93d1-00144feabdc0.html

barny_100

Not sure if this has been linked on here? Thought it was worth mentioning for next time a gold bug fails to mention the risk when saying Gold is a "safe haven"...

http://www.telegraph.co.uk/finance/personalfinance/investing/gold/5969848/Gold-falls-in-value-by-10pc-for-UK-investors.html

GTG

barny_100 wrote: »

Not sure if this has been linked on here? Thought it was worth mentioning for next time a gold bug fails to mention the risk when saying Gold is a "safe haven"...

http://www.telegraph.co.uk/finance/personalfinance/investing/gold/5969848/Gold-falls-in-value-by-10pc-for-UK-investors.html

You may like to educate yourself further http://www.theundergroundinvestor.com/2009/05/gold-and-economic-freedom-reinterpreted-for-the-21st-century/

DiggerUK

barny_100 wrote: »

Not sure if this has been linked on here? Thought it was worth mentioning for next time a gold bug fails to mention the risk when saying Gold is a "safe haven"...

It's a shame we haven't got the full article from Richard Evans.
The piece was published in the Your Money section of the Saturday Telegraph of 08/08/09.

It went through all the ways to save/invest in gold, and listed the pros and cons. If you can get hold of the full piece it is well worth studying.

If anybody can link the complete article, please do so.

cloud_dog

So, with Au toying with the $1000 price again any gold bugs have any views on wherre to now?

I will stick my neck out and say that I think it will re-test the high £900's before an attempt to rocket higher.

Comments.... (even from you synical, Gold has no value merchants )

purch

Comments....

Based on the numerous attempts it has made to get above and stay above $1,000 I would think that it would need to get above at least $1,100 to make this a serious move.

From a price action point of view, the way Gold has reacted everytime it has tested and broken $1,000 over the last few years ought to push the resistance levels higher and higher.

From a Gold Bug point of view.....it's going to happen this time :T

DiggerUK

Cloud Dog,
I don't believe that the price of gold (pog) is being kept buoyant by magic beans or magic mushrooms.
By that, I mean that I don't subscribe to the conspiracy theorists manipulation arguments, or those that say it's in a bubble, and anybody buying gold is mad.

There is a repetitive boost to prices that doesn't go away for ever when sellers have taken their profits.
It seems with the repeating rallies in pog, that there is a steady demand for gold that is not the actions of speculators, but of hoarders.

There is not enough info to say if this is a plateau in pog, or if there are more price hikes to come.
The strategy that got most small players like myself through is to buy on the dips. At least that is what my tea leaves told me.

And then there is always the possibility that it will be half the price it is now, in 12 months time. I don't see that happening, but best never to say never.

GTG

What UK residents should n't forget is, it does n't matter how high gold goes up in dollars if dollars are depreciating against the pound at a faster rate. The pound has appreciated about 20% against the dollar since March. Gold is not reaching all time highs in terms of pounds.

That does n't stop me owning the physical stuff though.