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Gold / Silver ratio revisited

BigJim#1-8

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solarion

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The GSR has cratered some 35% from its highs. That sure escalated quickly.
 

Trailblazer6

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Nice to see me on the plus side. I was thinking of playing the ratio when it gets to 50/1 but as gold keeps climbing I'm thinking people will switch to buying silver forcing the price even higher. Then we all get rich providing a loaf of bread doesn't cost 6 figures.
 

GOLDBRIX

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Gold will eventually get to be cost prohibitive to the average Joe. Silver will take longer. "Keep those presses and computers humming into oblivion".
 

D-FENZ

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Gotta throw a plug in here again for swapping the GSR ratios. There is no better way to double your metal holdings than taking advantage of the ratios. And you can do it without buying any more metal. Round turns are 4-baggers minimum. In fact I pay more attention to the ratios than the price. It really takes the angst off during price volatility and it's extremely profitable.
 

BigJim#1-8

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BigJim#1-8

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Gotta throw a plug in here again for swapping the GSR ratios. There is no better way to double your metal holdings than taking advantage of the ratios. And you can do it without buying any more metal. Round turns are 4-baggers minimum. In fact I pay more attention to the ratios than the price. It really takes the angst off during price volatility and it's extremely profitable.
The last trade I did was Ag for Au when the ratio was in the mid 30's/1. I was unsuccessful trading Au for Ag when the ratio was 90-95/1. I can't complain as the unsuccessful trades pale in comparison to the blessings we have.
I agree, the ratio's the thing that I watch closest.
 

D-FENZ

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The last trade I did was Ag for Au when the ratio was in the mid 30's/1. I was unsuccessful trading Au for Ag when the ratio was 90-95/1
You will have to explain the mechanics of your unsuccessful swap in the 90-95 range. I don't get it. Sounds brilliant to me. Sure, that recent soul-sucking, ball-shriveling spike into the 120s was tough and lots of cream was left on the table. But here we are in the low 70s again and dropping like a rock. I doubt we will ever see 120 again in our lifetimes.

Like you, I got into AU again in the low 30s but I was pretty much all out of AU when we were about here- in the low to mid 70s- on the way up to that 120ish peak. But I still consider that to be a successful trade.
 

Bman33

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Two things prevented me from doing anything when the GSR was at 120. I was in lockdown and my dealer doubled his silver prices when that happened because physical silver was detached from paper silver.
 

BigJim#1-8

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You will have to explain the mechanics of your unsuccessful swap in the 90-95 range. I don't get it. Sounds brilliant to me. Sure, that recent soul-sucking, ball-shriveling spike into the 120s was tough and lots of cream was left on the table. But here we are in the low 70s again and dropping like a rock. I doubt we will ever see 120 again in our lifetimes.

Like you, I got into AU again in the low 30s but I was pretty much all out of AU when we were about here- in the low to mid 70s- on the way up to that 120ish peak. But I still consider that to be a successful trade.
The mechanics were I didn't find a trading partner, got close, but no cigar.
 

D-FENZ

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The mechanics were I didn't find a trading partner, got close, but no cigar.
That's too bad.

The best time to shop for a good, honest dealer was 20 years ago. The next best time is right now. Maybe I got lucky but I have an excellent working relationship with a higher volume dealer and I cultivate it regularly. He knows exactly what I want with regard to swaps and low premiums. He is always looking to deal and has low markups. Sometimes he will call me when he has some low premium metals that he is getting ready to send to the smelter anyway because he knows I'm a willing buyer when the price is right. Cash and carry. It saves him the shipping cost and the lower prices that the smelter will fetch. There is no sales tax on PMs here. Anywho...

When it comes to swaps I basically buy one and sell the other. Usually he won't have enough to fill the entire other side of the trade but he'll get it coming. Meanwhile he will send my material to the smelter or may put some of it out for sale- not always sure what he does with all of it. The first couple of times I swapped with him I think he had trouble buying all of my metal so I told him to just cut me a check as a placeholder and I wouldn't cash it. When my materials came in and he was settled up on my stuff he had sent in I just gave him back his check and I took my goods. Now it's a bit more orderly and I call him a couple of days ahead of time as I ease into the swap position in dribs and drabs- but we have established a mutual trust. This is very important.

Bottom line is that I never lose more than about 3-4 points in the swap to slippage and commissions. I do pay a bit more for the gold because of the premiums on the AGEs but I recoup some of that when they go back the next time.
 

AurumAg

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GSR:

72 to 1
 

the_shootist

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GSR under 70 as silver approaches $30. This is wild
This is the adjustment we all thought would never come and it ain't done yet
 

Uglytruth

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OK time line for $35 & 40?
 

GOLDBRIX

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GOLDBRIX

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GOLDBRIX

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My best scores are Estate Auctions. FWIW
 

BigJim#1-8

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SongSungAU

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Another nice gain for one week.

KC200807.jpg


And since June 1st.....

2mo1wk.jpg
 
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Well, I have to admit this is quite uncanny, yet it seems, according to seeking alpha, that we might eventually reach a level where it actually doubles, even triples. Time will tell what's happening with this.


Summary
The precious metals sector of the market is now gathering pace with or without you.
The two main drivers behind the demand for gold are the demise of the fiat currencies such as the US Dollar and a gloomy economic outlook.
Both the currencies and the S&P 500 have had their day and there will be a rush for the exit.
Most importantly, the fever pitch reached in a gold bull market is like no other and boundaries will be exceeded time and time again as the panic to buy gets a grip.
https://seekingalpha.com/article/4366615-gold-likely-to-double-and-triple-from
 

SilverBuyer

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Show me a dealer that trades the ratio close to straight up and I'll go there...i understand they need to eat too but it's always been way to much in the dealers around here.
Have to get creative if you dont want to get screwed. TomD just had 1 oz generics for 1.25 below spot and eagles for 2.50 over spot available here. Anyone wanting to swap could of bought those then sold their gold seperately (that part being easy, dealer or not).
 

BigJim#1-8

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AurumAg

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69.7
 

BigJim#1-8

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71.2/1 Tues Am.
 

AurumAg

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BigJim#1-8

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I think it is great that Ag took such a significant hit.

Now it is more affordable for those who were on the fence last week.

It will be VERY interesting to see just how low the PMs go...

Pt looks like the bargain at this point.
When PM's dump like today i believe it discourages newbies more.
Time & the premiums will tell. Apmex still over $18,500 for a monster box.
$37.00 per...
Pt does look tempting.
 

GOLDBRIX

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I know I'm off topic but Gold and Silver have shook off that squeeze play of two weeks ago. Too. YEA!!!
AND
Coinflation has even better numbers.
Back to our normally schedule TOPIC.