Is there a number where you would stop buying?

[Usc96]

I think I am already at that point for silver, at least in bulk. Having bought rolls of eagles for between $200 and $300, I can't seem to get excited about the prospect of buying the same rolls at $600+. I will still buy individual numismatic silver at this price.

As for gold, I feel similar, but I am sure there is a number I wouldn't be comfortable paying. Is that number $2,000, $2,500? Certainly $5,000 would be absurd.

[Oldmansmith]

Yeah, it was crazy to pay $1,000 for gold and $20 for silver, just crazy. Why not wait until they go back down below that again.....

If you have extra FRN's, keep buying, a year from now you'll wish you could buy silver for 34 bucks.

[glockngold]

Is there a number where you would quit buying candy bars?
first it went up to a dime, then a quarter, now it's over 50 cents!

[nergal]

I think we've already crossed my price threshold . . . . at least for now.

[Irons]

With the remarkable economic recovery hussein and timmy have going on and the overall ducky and bunnie world situation I'm buying stocks.~

[Usc96]

For those who say it's crazy to worry about the price, would your analysis differ if you already felt comfortable with the size of your stack, and anything you were buying today would just be cushion?

[~BS]

your dollars are constantly losing value. The only way to preserve your wealth is to convert to something tangible.

Why did you buy SAEs at $15 a pop, when the closest equivalent (silver dollar) only used to cost $1? Don't you think $15 each is a bit absurd, that's 15x the cost of what it used to cost!

[glockngold]

For those who say it's crazy to worry about the price, would your analysis differ if you already felt comfortable with the size of your stack, and anything you were buying today would just be cushion?

Metals are just a way to park earned wealth.
I have been thinking about putting up a new pole building. (and actually paying someone else to do the work)
Once that starts, I'll be tapped out & quit buying.
but once the building is done, & niceties finished, I'll start buying metals again. (perhaps at $100. & $2000.)

[curmudgeonista]

It's relative. There's a time when $35 is too high, and there's a time when it's not. Right now I think it is for the short-term, but not for the long-run. I don't know about claims we'll see $25, or $20, or $15 again anytime soon, but I do tend to think we'll get more chances under $30. I know it doesn't sound right with all that's going on in the world, and with the dollar and the economy in general. But, the game goes on regardless.

I guess it's only natural, but I hear a lot more "should I buy now" questions on the upswings. I'm starting to ask myself the opposite question on the ups. Even with prevailing premiums, the swings are becoming wide enough to to play to an advantage... if you already have a silver position.

That's risky, though. If trading silver for cash, I wouldn't wait too long to get it back into metal and I'd be prepared to cut my losses if necessary. Maybe silver for gold, and gold for silver is a safer play, but might not pay off as well short-term.

OTOH, newbies with cash and no metal should disregard this and stake out a claim ASAP.

[gilmoujr]

OTOH, newbies with cash and no metal should disregard this and stake out a claim ASAP.

Ain't that the truth!

[Silver Buck]

OTOH, newbies with cash and no metal should disregard this and stake out a claim ASAP.

I've said this before, but it is worth saying again: The best thing I did last year was listen to you gimmers and get my position while the getting was good. Sure, it quickly drained my spare FRNs, but I was so glad I was able to get my position (regardless of the size of the stack) around $27.50. Wish I would have bought with both hands at $19 when I started to wade in.

As far as 'stop buying'? I have quit adding to my stack. However, I have begun buying Silver to trade for services. I do want to put up an outbuilding (nothing so big as a pole barn) but I am getting to the age where I don't want to do all of the heavy lifting. So I'm going to offer to my construction working friends Silver for payment. They can then either hold it or take it right back to the store where I purchased it (and it will be SAEs). This way I get my building built, my friends get to see what it is like to receive Silver for payment, and my dealer makes a bit of money.

[Argentsum]

Well past it now.

When silver was at $4.70 there wasn't much down side potential.

Silver at $34 has enough altitude to form a significant crater.

[Irons]

Well past it now.

When silver was at $4.70 there wasn't much down side potential.

Silver at $34 has enough altitude to form a significant crater.

Oooh watch it!! The silverfish rocket gang will be on you for that!

[Usc96]

Of course the corollary to this question is whether there is a price where you couldn't help but sell. In my opinion, we are not even close. In fact, if the price continues to go up, I'd be inclined to hold regardless because I'd fear FRN were going to be worthless. Think about it. If gold was going for $10,000 an oz, would you really want those FRNs?

[slackercruster]

I think I am already at that point for silver, at least in bulk. Having bought rolls of eagles for between $200 and $300, I can't seem to get excited about the prospect of buying the same rolls at $600+. I will still buy individual numismatic silver at this price.

As for gold, I feel similar, but I am sure there is a number I wouldn't be comfortable paying. Is that number $2,000, $2,500? Certainly $5,000 would be absurd.

Good case for NO...but what is the alternative to the gov toilet paper for holding wealth?? (Actually would rather have real TP than the gov version as frn's are next to useless for that as well.)

[KGMe]

I won't sell, but I will trade for gold.

[Ragnarok]

I've pretty much stopped buying except on major dips (seasonal weakness), because while the price of silver and gold have been rising, my wage/income certainly has not kept up with their pace! What PMs I do have now will pretty much have to do for the long haul.

R.

[Rusty Shackelford]

The only way to add to my meager but growing stack is to buy and buy on schedule (once a month for me). I currently throw about $300 a month towards PMs and whether it is at $30 or $35 we are only talking 1-2 ounces difference. I missed the boat way too many times in the past saying it was too high to keep stacking ounces. The size of the stack is what matters to me not it's value in FRNs.

[Irons]

Buying on a schedule is the best way to go, you will hit highs and lows but most of all you will be stacking consistantly

[~BS]

I've pretty much stopped buying except on major dips (seasonal weakness), because while the price of silver and gold have been rising, my wage/income certainly has not kept up with their pace! What PMs I do have now will pretty much have to do for the long haul.

R.

Well your wages sure haven't kept up with rising prices at the supermarket and at the gas pump, but your PMs sure did.

If PMs continue to rise, it's a sure bet that your wages are falling even further behind.

[TomD]

The world seems to be in the process of imploding and I'm not sure how applicable past lessons are in this environment.

PM prices are just one aspect of a commodity bubble forming around the desire of holders of trillions of dollars in paper assets to seek safe haven in some asset class based in reality. We congratulate ourselves for our foresight to be in silver but we could have just as well been invested in cotton or wheat or oil or soybeans and so on. Ordinarily my thought would be that bubbles burst and to predict that silver would be back in the teens to low 20's in a year but there are so many things in play in the world just now.

I suspect one thing and that is I wouldn't be particularly happy in a world of $100+ silver.

[gold miser]

I'm sitting on a good stack but will continue to purchase the new SAE's as they come available, same with GAE's. also looking to compete my collection of double eagles. just an addiction that I cant overcome!

[Silver Buck]

I suspect one thing and that is I wouldn't be particularly happy in a world of $100+ silver.

It would be bittersweet.

[Argent Dragon]

I'll stop buying when I run out of cash to burn (and as long as the USD is still good).

[pay dirt]

Silver at $34 has enough altitude to form a significant crater.

[~BS]

It is possible for short term bubbles to emerge and burst, as there is a lot of money in the metals coming from hedge funds and large investors. It's these types of entities that drive up the prices of commodities. Remember when oil hit $147, then came crashing down?

[pay dirt]

Every gram into PM is wealth free of the terminally diseased currency.

[jogslvr]

Not buying Ag here but swapping out for gold at up to date GSR.

[sandro]

I've moved mostly into buying gold lately as the silver has gone way beyond what I find comfortable. I buy silver only and only on huge steals as of now, 25% off at least or less on a dip like last week. Just my 2 c

[jogslvr]

I'm guessing many small time retail buyers like us are hanging up their spurs for now. Hereon, market moves hinge on big fund trading. Hope they keep adding longs. Listening to the major Miners all day yesterday on Bloomberg, they are all ramping up production, big time. Talking about buying out the juniors, too. From all the bullish talk, I was led to believe there may be a glut in the making a year from now. The big boy CEO's were bragging about low cost to produce from their mines, like $5 oz silver and $35 oz gold. Don't know if that was raw or refined production cost? They made me wish I had left some dough to ride on the miner's market.

[Argent Dragon]

It is possible for short term bubbles to emerge and burst, as there is a lot of money in the metals coming from hedge funds and large investors. It's these types of entities that drive up the prices of commodities. Remember when oil hit $147, then came crashing down?

Yes and with that possibility comes affects to all aspects of 'commodities'. Remember that this type of argument supports another very large wave of Deflation. I'm not calling right or wrong here just pointing out that tumbling commodities is deflationary. That means gas, food, and everything associated comes down too.

It's not just Silver up on a pedestal by its lonesome.

~AD~

[Usc96]

One thing I am picking up from these responses is we should all GIVE THANKS that we got in when we did. We are in a much better position than those just now getting interested.

[Irons]

I'm guessing many small time retail buyers like us are hanging up their spurs for now. Hereon, market moves hinge on big fund trading. Hope they keep adding longs. Listening to the major Miners all day yesterday on Bloomberg, they are all ramping up production, big time. Talking about buying out the juniors, too. From all the bullish talk, I was led to believe there may be a glut in the making a year from now. The big boy CEO's were bragging about low cost to produce from their mines, like $5 oz silver and $35 oz gold. Don't know if that was raw or refined production cost? They made me wish I had left some dough to ride on the miner's market.

Great point Jog, I read on this very forum about gold mines that are profitable at 3 grams per ton of ore.

Think about that, they can blast, dig, load, haul, crush and process a ton of rock and get 3 grams and still profit. Amazing

[TLM]

The current price point may seem high to some because it is relative to what you are used to seeing or in comparison to other goods or services. The price of some commodities have gone up recently but maybe not as quick as PM's.
I believe that there is a certain portion of the population that is wealthy because they have an understanding of value.
If one quits looking at price and focusses on value, then PM's are viewed in a different light.

For those that farm livestock or have a large garden to feed their family have a better understanding of value verses price.
Likewise, if you had to toil away in a mine if you wanted silver or gold you would soon realize that while the price may still seem a little high compared to other things, it is greatly under valued even at these prices.

Focus on "value" not on price, afterall that's where the word "valuable" comes from... and that's a good word for PM's

Peace
TLM

[Usc96]

Was just listening to CNBC and Jim Cramer said he has been a goldbug since he started Mad Money. I don't remember any of the MSM talking head getting on the gold wagon prior to 2010. Am I mistaken about that?

[jogslvr]

Was just listening to CNBC and Jim Cramer said he has been a goldbug since he started Mad Money. I don't remember any of the MSM talking head getting on the gold wagon prior to 2010. Am I mistaken about that?

He has been pumping GLD, GG, BHP, and many others, forever but I don't watch his show anymore. He's the king of pump and dump. Anyone who comes out of Goldman Sachs must be held at arms length.

[Sindgefallen]

For the longest time I felt like I'd missed the boat. I had been buying at the 5$ and 300$ level since the late 90's and early 200's but I didn't have much money then. Sure I had some free silver given by a now deceased relative but I knew the overall future, bleak, and I had little to start with. Over the years, and on GIM, I had been saving and acquiring silver at 10, 11, 12, 13, 14, 15, 16, and lately at 22-25/oz but The bulk of my position was 15 and under.

I have a hard time buying silver at new highs but there are times that I will. When momentum was going crazy last fall and when there are sweet pullbacks. Like 08-09.

I don't view silver going to the inflation adjusted old high. inflation adjusted from 30-35 is where I have my initial sell targets. Then I am going to buy back after a sweet correction. But this is only if the conditions are right. If this week ends at 40, I sell and wait for correction. If this week ends at 30, I buy, if this week marches steadily higher then I wait, buy little pullbacks.

This is not the 70's. This is our time now. This time may have no dollar to convert to. In the 70's that was likely the same thought. But no one knows exactly what will happen.

Have a core bought at the lowest lows. Trade on giant spikes. Accumulate ounces via the ratio.

I am sure there will be a mania in pm's by the time this is all over and there will be mini manias with spikes and corrections. I intend to trade those.

I am not a buyer of 50$ silver. Only if the government collapses will I worry about buying at any price because then it is all about portability. Gold likely.

I have a wide array of tangibles and too much powder. I have been free to burn it but am waiting for a solid pullback. Opportunities abound, just takes patience. I would not be surprised to see silver hit 40 and pullback to 25-30.

If you have little or nothing then buy a little at a time and incrementally. You need some. Just not bought at the top.

I agree with Argentstrum, when I started buying I knew about bullion investing and saw the prices sink to a place with little downside. Not too far from cost. That is where the sweet spot is. Oil started rising and the commodities were cheap. At 30+ I look to rising costs and fiat printing.

QE is where the price keeps rising. Stop printing and start the austerity and we will see a time to not buy.

[Mined Games 2]

Silver is too pricey for me at these levels. I know there's still tons of upside in the silver price, but I've decided to move down the metal scale and concentrate on accruing base metals instead of PMs. My spare FRNs are going into base metal rounds that have been assayed by the US government. While the price of PMs continues to skyrocket, I will continue to add 95% copper rounds at a fixed rate of $1.50/lb.

[inorganic]

Yes, I stopped buying fiat a long time ago. Since I got 100% into gold and silver, I cannot imagine holding on to new fiat paper any longer than it takes to order from APMEX. Of course, I have nothing against buying real, physical productive equipment to do my productive work, which I also do.

In gold we trust.
In silver we trust.

In fait we despise!

[PM Stacker]

I like most people have debated when to buy. Is $20 to high, is $30 to high, is $35 to high, etc...
I have come to the conclusion that I am a metal bug, and I will keep stacking until I just don't have enough FRN's to buy anymore ounces.
This doesn't mean that I am buying blindly. I try to buy the dips, and I am closely watching the GSR for the right time to trade
a portion of my silver for gold. Right now I am heavy on the silver side, and I would feel better to be a little more balanced.
However deciding when to exchange is the BIG ONE for me right now.
Also I saw an interesting comment. I can't remember which thread nor who posted it,
but it was something to the effect that as the GSR goes down, less people will be willing to accept silver for gold
as they will view gold as going down in value to much to silver and want to hang on to it until it adjusts back.
That was a surprising thought to me. Interested to hear what others think would happen if GSR goes to 30 to 1, or less.
Will it be hard to exchange silver for gold? Or instead of an actual exchange, will you have to sell one and buy the other,
with FRN's, and hope you can do both at the same time with out losing to much on the exchange cost.

[MrDonkey]

When I am 6 feet under.

[American Chestnut]

I'm not comfortable holding a lot of $$ now. It seems a bit silly to keep buying silver @ 35. but I get a little here and there.
I am still buying some fractional Gold when I can find it. Some pig roared in and cleaned out my seller a few days ago.

[Irons]

I'm not comfortable holding a lot of $$ now. It seems a bit silly to keep buying silver @ 35. but I get a little here and there.
I am still buying some fractional Gold when I can find it. Some pig roared in and cleaned out my seller a few days ago.

Lot of that going on.

[rodzm]

My only purchases in silver was when we had a pullback to 26. I only bought $15 face of 90%. Its been an amazing ride in gold and between doing some trading and buying Ive increased my gold holdings over 100% what they were in the past 4 months.

Silver is too high for me right now but if we have a drop to 27 or 28 Ill buy a little bit of silver. Gold is my main fix right now and i cant wait for the ratio to turn higher to 60 or above and get me some silva...

[Last Stand On Earth]

I think PM's could go lower into 2012, but after that I feel they will climb for the next 20 years barring government intervention into the market.

In truth, I am up so much that I think about selling all the time, but I keep coming back to the same conclusion ... what's the point? What am I going to invest in if I sale? There is nothing safe and to hold dollars is beyond foolish. I could see selling some if I knew there was a dip coming, but I could be wrong about a potential dip though I do feel there will be a MAJOR push by .gov in 2012 to convince folks everything is fine with the good ole USA.

Over the next 20 years PM's can do nothing but go up because all America can do is monetize what will be essential debt to fund our deficits. It really is just that simple. The only thing really that can stop PM's rise is for the government to step in and nationalize/outlaw PM trading.

See. The government must fund the Boomer Retirement and it cannot raise taxes near enough to do that and it is exceptionally unlikely benefits can significantly be cut. In fact, by "means testing" Social Security recipients, I think you would see a rush to physical PM's to hide one's savings. Heck, I know in a year's time I could be set up to look like a pauper on paper. When "means testing" looks to become law, you will be reading financial advise from the poorest person you have ever met (on paper) ... me. No 401k's. No IRA's. No investments. No savings. No money in checking. Just my home and a few old cars.

So short term 1-2 years? Perhaps you could sell some and take some off the table. But I promise you on every fiber of my being that in 20 years $35 silver and especially $1400 gold will look CHEAP!

[Quixote2]

You stop buying physical when your "insurance" stash, measured in ounces, is "large enough". You continue to buy and sell (trade) as you compare and rotate precious metal investments in and out of the alternative investments.

[Sindgefallen]

I believe that there is a certain portion of the population that is wealthy because they have an understanding of value.

This is exactly how I have viewed investments my entire life and how I got into PM's. I always valued something physical more but even paper stocks looked attractive at the market bottom, especially if you priced in the government propping schemes.

I view art in this same way currently and have been acquiring paintings at bargain prices.

I have been tempted to sell some core silver here to time a correction and buy in this summer but then I figure there is no point. Trading junk sterling into this rally has done well for profits and some here have done very well on mining stocks. I do see 35-50$ silver and below as a good value but the real value will fluctuate with the environment. Perhaps $300 silver will eventually look cheap and perhaps value will be having portable wealth, who knows.

I am committed to buying only deals right now until there is a pullback.

[chris_is_here]

It all rests on future investment demand....more to the point, can investment demand rise to meet the increases in supply? The latest USGS report says there is 16 years of mineable silver remaining, after which point, it becomes extinct (barring any new provable reserve discoveries). With prices where they are, mining output will definitely rise over the next few years, but that will only hasten the depletion of silver. Unlike other commodities, it is finite....you can grow more corn, wheat, and cotton, but you can only extract so much silver from the earth. Already, the low-hanging fruit has been mined, any additional discoveries will likely be at depths of 4,000-5,000 ft below the surface, and it will not be easy or cheap to extract.

There could be a glut in the next few years, providing one last opportunity to buy cheap silver. Long term, the eventual crash of the USD will take care of this, as every last ounce will be snapped up by astute investors at any price, just before the collapse.

If you hold physial silver or gold, the smartest move is to just keep it. If you want to try to time the markets, buy SLV or GLD. If you sell your stash, my guess is you will never be able to replenish it, going forward.

[spathatos]

Silver is too pricey for me at these levels. I know there's still tons of upside in the silver price, but I've decided to move down the metal scale and concentrate on accruing base metals instead of PMs. My spare FRNs are going into base metal rounds that have been assayed by the US government. While the price of PMs continues to skyrocket, I will continue to add 95% copper rounds at a fixed rate of $1.50/lb.

Buy a few coins at a time. Still is better than not buying.



As for me, I will stop buying when the global crisis is stable or new currency is nearly in place (not talking about a gold based either). When they stabilize world markets that is when it will be time to get out. When that will happen, not for a long time. People say gold at 1430's and silver at 35 is to high. You are playing the game stuck in the present not thinking about the future. They are 'high' at present prices but will look like a sale in the future. Be aggressive, sacrifice some things now, because down the road you will look back and be glad you did.

[Mined Games 2]

Buy a few coins at a time. Still is better than not buying.

How can you be so sure that still buying silver at these levels is in the best interest for me, when you have no idea how much I already own?

I'm all about being diversified when it comes to my holdings, and there are plenty of other metals out there besidies silver that will appreciate in value during a currency crisis. Let me ask you this, when we have a bank/currency crisis, do you want to be the first one in your town to break out PMs for bartering purposes? Sorta like painting a target on your back, IMO. I like having other options to dip into, besides PMs.