Silver

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Submitted by moneymaker on July 5, 2013 - 11:43am

Anyone have a specific buy in target for silver, I'm thinking maybe $15.

Submitted by desmond on July 5, 2013 - 2:12pm.
Submitted by no_such_reality on July 5, 2013 - 2:26pm.

Personally, I prefer wildcat Greenland mining claims.

http://www.bmp.gl/index.php?option=com_c...

Submitted by moneymaker on July 6, 2013 - 10:26am.

I wish I could afford to buy gold, but alas I'm a silver buyer (bullion so far). Last time bought for $3-4 and sold @ $32 (after more than 10 years of holding). I've always heard that during inflationary periods, hard currency is best.

Submitted by raty4R on July 7, 2013 - 10:43am.

Better questions would be 'When will the dollar stop rising? or What event(s)will cause the dollar to start losing value?' That will tell you when to buy.
I don't think that will happen for a while.

Submitted by HLS on July 8, 2013 - 11:07am.

IF you believe in silver/gold, take the time to learn option strategies.

There is always a buy/sell spread above spot when buying/selling. If you buy today and there is no move, you would lose money if you sold it today because of that spread.

You can make money without ever touching bullion(or worrying about storing it or having it stolen)
You just need to be right about the direction that it is going to move. You can profit from up or down moves.

For example: If you are willing to buy silver in the $15 dollar range, you could sell JAN 2015 $17 puts and collect over $2.00 per ounce today. (17-2 =$15)
You get to keep the $2 no matter what happens. If silver stays above $17, you make $2 maximum.
If it falls below $15, you will own it at $15.
* you could also sell JAN 2015 $15 puts and collect $1.34 right now. Silver would have to drop below $13.66 for you to lose, and your max gain is $1.34. Limited risk, limited reward.
(You could sell $10puts for 30c.
Silver would have to drop below $9.70 for you to lose money)

there are other strategies that will give you unlimited upside with more risk.
It can be done with gold as well, you do not need
to have the cash to buy it and you can still profit from large moves, up or down.
Same principles apply to stocks as well, you can control (& profit from) larger amount of shares with limited risk by using different strategies.

Submitted by Bradleybrown on July 26, 2013 - 3:54am.

I look at the silver market this way – the metal is currently undervalued, meaning the value is sure to surge from where it is currently. I don’t plan to stuff my portfolio with silver, just want to supplement my investments with a decent amount of silver bullion. So, I buy small amount on the dips which may be $20 or $19. I was lucky to buy some at $18 something.

Submitted by moneymaker on October 1, 2014 - 9:47am.

I almost bought some yesterday below $17, but didn't really know the ins and outs of buying. I now know about sales tax and how much over spot to buy, not yet sure if buying is a good idea if have to sell it below spot as well. Seams like it is a lot like gambling where the only sure winner is the house (broker), do they call them that because that's what they make you?

Just found out for a 10 oz. bar it's $1.25 to buy and $.75 to sell that's a total of $2 commission out of $17, that works out to 11.76%. Yeah, not really a good idea for me!

Submitted by Doofrat on October 1, 2014 - 11:15am.

I used to write puts on silver back in the day when silver was really low. I'd place them where the percent change / beta needed to move them into the money hadn't occurred in the last 40 years. Somebody would always buy them. I figured it must be someone hedging like a producer or someone with some trading strategy that needed to cover.

The idea was that Silver (similar to now) was at that time below the production price and a lot of the Mexican mines had already closed and more were closing, so the chances of silver falling much more was extremely slim.

The puts were pretty far outside and so were cheap, and the margin needed to cover these was pretty high, so I didn't make much on each one when compared to the cost of holding up that margin. I had to stop when silver recovered.

I think the idea behind holding onto physical silver rather than using options is that Silver may take a long time to recover, I remember that even Warren Buffet lost this bet 8 or 10 years back and sold out before silver recovered.

Submitted by The-Shoveler on October 1, 2014 - 12:02pm.

I like Silver ( would buy the coins myself ) but I really don't expect giant returns and would not buy it now over say $20 a oz,

The issue with silver is it's mostly a byproduct.

ie They mine copper and get the silver as extra income.

but under say $20 I think I could buy a few coins.

Submitted by moneymaker on October 1, 2014 - 12:19pm.

I agree with you doofrat, I think it may take a while. Inflation however would speed it up. My new strategy would be to buy a mix of gold/silver. By buying 1 oz. of gold with 20 oz. of silver one would not have to pay sales tax in CA and the buy/sell expense would be cut down to 5%. It would still have to go up 10% in order to make 5%.

Submitted by CA renter on October 2, 2014 - 2:06am.
Submitted by svelte on October 2, 2014 - 7:08am.

.

Submitted by moneymaker on October 3, 2014 - 1:49pm.

Gold is below $1200, maybe I can afford it now. Silver and Gold! Hi Ho! Hi Ho!
I'm officially a whole sale buyer of gold and silver now.

Submitted by The-Shoveler on March 13, 2020 - 9:46am.

So Silver down big (probably more than the S&P500)

I am nibbling a little here on SLV shares

IMO probably margin call selling but maybe I am wrong.

Thoughts?

Submitted by Coronita on March 13, 2020 - 10:16am.

The-Shoveler wrote:
So Silver down big (probably more than the S&P500)

I am nibbling a little here on SLV shares

IMO probably margin call selling but maybe I am wrong.

Thoughts?

Gold > platinum > silver.

Submitted by gzz on March 14, 2020 - 3:31pm.

I think it is prudent to have 0.5-1% of your net worth in physical gold and silver. That’s far less than goldbugs suggest, but more than 90% of investors.

Between the two, silver seems to have better fundamentals: more industrial use, harder to recover and recycle, lower stockpiles, ratio to gold way out of historical norms.

SLV is nice to trade in and out. The management fee however is too high for a 5+ year investment timeframe, and physical is better.

Silver is an odd market because most silver is not mined directly, but a byproduct of gold and zinc mining. Mines focused on silver just can’t be opened as long as it is below 20, though existing mines can operate.

The upshot is that demand for silver is slowly rising and mining of it slowly declining. Doesn’t mean it can’t go down, but the large number of investors and long-term industrial users provide a sort of floor.

Submitted by Coronita on March 14, 2020 - 4:03pm.

I like gold because of only one reason. It looks cool! Bling bling.

Submitted by The-Shoveler on May 19, 2020 - 7:23am.

The-Shoveler wrote:
So Silver down big (probably more than the S&P500)

I am nibbling a little here on SLV shares

IMO probably margin call selling but maybe I am wrong.

Thoughts?

Well my SLV (bought at 13 and 11) seems to have done better than the S&P-500 or Gold in this rally,

Got a trailing stop on it so I get out at least 30% gain.

Submitted by scaredyclassic on May 19, 2020 - 7:51am.

The-Shoveler wrote:
The-Shoveler wrote:
So Silver down big (probably more than the S&P500)

I am nibbling a little here on SLV shares

IMO probably margin call selling but maybe I am wrong.

Thoughts?

Well my SLV (bought at 13 and 11) seems to have done better than the S&P-500 or Gold in this rally,

Got a trailing stop on it so I get out at least 30% gain.

Well done.

Hard to buy when dropping like a rock

Submitted by Coronita on May 19, 2020 - 7:54am.

The-Shoveler wrote:
The-Shoveler wrote:
So Silver down big (probably more than the S&P500)

I am nibbling a little here on SLV shares

IMO probably margin call selling but maybe I am wrong.

Thoughts?

Well my SLV (bought at 13 and 11) seems to have done better than the S&P-500 or Gold in this rally,

Got a trailing stop on it so I get out at least 30% gain.

Yeah. Happy to hear. Good job. Gold and silver both doing ok

Submitted by scaredyclassic on May 19, 2020 - 8:12am.

This rally will die at $20.44 .

But it will be $50 within 3 years.

Submitted by Coronita on May 19, 2020 - 8:36am.

Glad you're doing well during the covid periods,Shoveler as I'm sure some other folks are as well. I'm sure some of us will emerge from this financially stronger than initially. Especially with some asset prices on the cheap.

I've been using silver coins from apmex as gift/stocking stuffers for nieces and nephews whose parents insist on not bringing a toy gift. Besides them already having enough toys and not needing any more, they insisted on not spending $25-40 for useless plastic crap made in China that ends up at Goodwill or in the landfill. So instead I give them 2 silver coins each time, and hopefully in a few years, it's worth more than I bought them at. Plus they look cool

Submitted by The-Shoveler on May 19, 2020 - 8:46am.

Cool, nice gift for kids as long as they don't lose them.

We have a little physical silver (wife uses a little to put in drinking water etc..).

Too much hassle for me to have very much physical stuff, SLV as a trading vehicle when it gets too over sold like IMO it was at 13 or so is worth considering IMO.

I thought of it as a S&P substitute in the above case with maybe a little panic kicker possible.

Submitted by Coronita on May 19, 2020 - 9:02am.

The way I look at it is, s typical toy costs around $30-40. For most toys, it will be used at most 2-3 years before the kid(s) get tired of it. So after a year, it's either $30-40 in the trash or to goodwill.

Even if the kid or kids parent loses the silver coins, he/she is in no worse shape than gifting a toy that ends up in the dumpster.

Canadian mint actually comes up with some pretty interesting silver coin designs. Granted it costs a lot more than the silver that's actually in them, but they do different themes.

https://www.mint.ca/store/template/home.jsp

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