Gold price to go steady, dips imminent?

cloud_dog

atush wrote: »

Don't be silly, I didn't sell at 270 only to buy at 575. My mothers estate HAD to sell at 270 as that is the rule of executorship- have you ever been one? To not sell would have been criminal as liquidating assets to pay creditors and beneficiaries is the job. Holding back on krugerands and canadian maple leaf coins would have got me arrested.

My first ever purchase of gold was in 2006.

My point was and is that gold has lost ground in other periods of time. I am satified it won't be tanking any time soon, but felt that it was a good time to bank some profits.

It is never wrong to take a profit........ hindsight is a wonderful thing.

DiggerUK

Both spot and fix were up, down, shake it all around.
Gold price for now....well?....nothing to see here,....move along,... come back next week.

'Stay Calm and Carry On', stay on topic, and be nice to each other whilst I'm away for the weekend.
..._

sabretoothtigger

I agree about the debt deal and 1600 being an obvious place for a top but in general I dont think its due to topple. I would only consider this if paper currency's prospects increased drastically. So that to me means no usa deficit and most probably there or in europe a proper rise in rates.

Until thats the case or they reverse QE the dilution of all face values is an ongoing process, hence a non growth asset like gold is justifiably rising in price & will continue




How many people consider the price of sterling before selling it to buy gold. Its brain melting stuff, I would steer away from trading currency.
Decide what real asset will you be buying with your gold and how useful is that to you and the world. It should not be that hard to find something more useful then gold


Water is more valuable then gold, invest in water
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experience08

sabretoothtigger wrote: »

Water is more valuable then gold, invest in water
[url][/url]

NO, invest in lettuce...95 percent of some species of lettuce, by weight, is water:beer: :money:

atush

aren't humans mostly water too ;-)?

agree about the debt deal and 1600 being an obvious place for a top but in general I dont think its due to topple. I would only consider this if paper currency's prospects increased drastically. So that to me means no usa deficit and most probably there or in europe a proper rise in rates.

Until thats the case or they reverse QE the dilution of all face values is an ongoing process, hence a non growth asset like gold is justifiably rising in price & will continue

Well, this was my thinking which is why I sold just under half my holding instrad of all of it. Till the banks can raise rates and economies start imprvong I'm not seeing it fall either.

But most of us private investors had no idea about the derivatives based on junk bnds from housing in the USA that started the credit crunch, who knows what is around the corner?

I knew Greece had substantial corruption, but I didn't know that workers could retire at 50-55 on full pensions either. Economists know this stuff, but not many private investors do.

sabretoothtigger

I dont think its so complex. Greece did not honestly have the funds to enter the Euro. Once this was known, they leave immediately


The fact we didnt do that is a disaster, nobody should try to back up a lie as real and call it economics. How has it worked so far? Greece is tiny, they could wipe that debt to zero if they really wanted though it'd sting some


If we use similar thinking on the big countries its get silly how badly it could fail. Theres nothing worse then succeeding in a mistake

Till the banks can raise rates

That is why I would be more cautious if they reduced their debt and liabilities at all.

If USA didnt have a deficit it makes it more likely that raising rates is possible which makes gold as a 0% product worth less.

What is the case now I think is there are negative interest rates which somehow makes Gold clever by comparison.
China has higher inflation then the interest rate and so on.


So rates cannot go up now as government is in deficit and relying on low rates to produce low costs.
Without low costs they cannot spend as much. Less spending lowers GDP presumably.
Everything hinges on this low cost, government is very expensive in reality but they appear to operate at 0.5% or less cost. Its a façade


The real reason to buy and/or keep hold of gold revolves around future interest rates. If I thought 10% was possible I would not hold now, they like Greece cannot afford higher rates.
So inflation will continue to outdo cash rates until they find a way to pay the debt.
When they got no debt it can return to a normal flat situation, the bias is to gold as zero is better then -3% or whatever

atush

I dont think its so complex. Greece did not honestly have the funds to enter the Euro. Once this was known, they leave immediately

months after joining the admitting to having lied in their application to join the euro but were allowed to proceed by the other eurozone countries.

sabretoothtigger

Thats the problem then. If theres a common currency it needs some common standards. If Germany is the worlds largest exporter and its using the same currency as in % terms one of the worlds worst debtors then they have nothing in common.


We dont need an equation to see there is a problem in an equal currency held in Greece and Germany and these countries are opposites. Arbitrage is the idea that all imbalances will equalise and in finance this does tend to happen.

Are we going to try to rewrite what is basically gravity to prove ourselves correct.
The only reason geniuses in charge wont admit it is their egos. Im sure they all more clever then me but I dont think this problem is complex in its basis




http://krugman.blogs.nytimes.com/2011/07/19/the-glenn-beck-debeers-connection/

DiggerUK

DiggerUK....."So if you are considering investing your savings in to gold, hang on for a short while. Just my opinion, but beware, I'm bonkers."
..._

This week has been a classic week for the 'headline grazers' who then vomit posts all over the place. Much like the obese who graze on too much food, far too often.

Debt ceiling crisis my @rse, it's a political side show. They will throw a few band aids around and stabilise everything till..????

The price of gold would have shot up if this was it, and it ain't.
So, enjoy your weekends, and come back next week.

DiggerUK

DiggerUK wrote: »

.....The points in favour of rises are same as they ever were, printy printy, coming home to roost...... I still feel that the point of no return has been passed, but the tipping point is still to come......So if you are considering investing your savings in to gold, hang on for a short while. Just my opinion, but beware, I'm bonkers.
..._

To early for my humble pie yet I believe.
Instability all over the place, and nerves fraying. But I don't feel this is the tipping point in to a financial meltdown.

Talk nice to each other, keep calm, and carry on.
..._