# GRF: only forum not abuzz re: Au/Ag prices, LOL.



## element47.5 (Apr 15, 2013)

Kind of funny, GRF is probably the only forum in the entire universe not abuzz talking about the collapse in the price of gold over the past 2 [trading] days. 

A friend of mine picked up a monster box he had bought about $5 higher, his personal check had to clear. 

He said there was a line around the dealer, CNI, in LA. He said all those in line were BUYING.


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## qst42know (Apr 15, 2013)

Do you believe this is a buyers market based on the Cyprus sell off? 

Or something else?


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## element47.5 (Apr 15, 2013)

No, I believe (and I emphasize, this is my opinion) Cyprus is a tiny part of it, but a notable trigger. 

That the competitive devaluation of the Yen and the drop in the Euro have made the dollar expensive on a relative basis. We are not just seeing this in gold/silver, we are seeing it in crude and copper and most other commods. Especially crude. But copper, too, has been crushed. Nothing like gold, though. 

What started as a general weakness in the market was exacerbated by a: Cypres and then b: Goldman came out with their bearish call. I have zero doubt that GS can scan its customers' accounts and see weak hands holding excess long PM positions and bet against them, with unbridled viciousness. I have no doubt that GS is starting to nibble long, but you can only bet with them if you have the cast iron stomach and can withstand the heat. 

Now, today, the COMEX just raised margin requirements on silver & gold and silver is down another $1.22 and gold, $31. 50. 6:30 PDT. Classic price-smash move by the COMEX. 

The charts on these metals have looked like pure cr*p for a fair while now.


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## Gratilla (Apr 15, 2013)

Expect a "dead cat bounce" right about now.

Am I putting money where my "mouth" is?

No-ho-ho way. :lol:


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## element47.5 (Apr 15, 2013)

In the stock market, I believe a DC bounce could occur and indeed, I bot the close, mildly. I do NOT think it is smart to bottom feed metals, as much of a fan that I am. They ain't going anywhere dramatic. The COMEX raised margin requirements on Ag and Au intraday and that is a classic smash move, even more than what has already occurred. If you are a LT investor in these metals, you might nibble around here or buy some SLV w/a stop, but I would also assume that Ag $20 will act as a magnet for silver, thus, no hurry. For the whole decade of the 2000's this was the behavior of silver. It liked round numbers.


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## Geo (Apr 16, 2013)

most everyone here has seen this before (well, maybe not on this scale) and knows that prices will rebound. projected prices by the end of the year has gold near 3K and silver around 40 or better. im not a trader or speculator. i dont buy and sell on a daily basis. i do try and pad my income monthly and as long as my margins dont get too narrow, im not going to lose any sleep over it.


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## Palladium (Apr 16, 2013)

Burn baby burn !!!!! I to have started to gather quiet a bit of gold in reserves and have lost a few thousand dollars with this market but i'm not the least bit worried.


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## Marcel (Apr 16, 2013)

If the gold price plunges the same goes for e-scrap. So you can buy stuff cheaper.
Plus : At the end of the day I suppose many hobbyrefiner loose more gold in their inperfect processing than in falling prices. So there is still room to narrow the gap.


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## Gratilla (Apr 16, 2013)

And boy did that cat bounce!

The next support for silver is $20/oz.


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## FrugalRefiner (Apr 16, 2013)

Geo said:


> most everyone here has seen this before (well, maybe not on this scale)


1980. 

During the first half of 1978 gold was under $200 oz. By January 1980 it had soared to over $850. In 2 months it lost nearly half its value, dropping below $500. Then it continued to bleed for the next 2 years till it dropped below $300 in June 1982. I was in the jewelry business in those days. It was a wild ride.

It didn't break through $850 again till 2008.

Dave


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## element47.5 (Apr 16, 2013)

Here's a thought. Gold is suddenly cheaper than platinum, by about $80 as I write this. 

Now this is interesting. Traditionally, gold has been cheaper than Pt...and rightly so, because Pt is about 10x as rare. 

But gold has been roughly the same price as Pt since the financial crisis starting in 2008. Pt as a trading vehicle is very, very illiquid. Gold is full of latecomers and weak hands. The cascade in gold was produced and exacerbated by margin calls, as it is held in futures contracts by folks on margin. When the price declines, they can get margin calls and have to toss in $20K on a price dump the size of what we have seen over the past few days. Not many can do that, certainly not in size. Thus they get sold out, and they get sold out at the bottom. This is not the natural behavior of someone who buys gold. Someone who buys gold who is not simply a price speculator wants their money outside the banking system. If you want to speculate on gold, you should trade the etfs and not pay $70 premium on the buy side to buy an Eagle (or whatever) you should just pay a stock commission. 

Therefore, measured by Pt, I believe gold has been flushed past the point of its "nominal" value....whatever that means. I believe gold could be a buy.


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## solar_plasma (Apr 17, 2013)

I don't mind. If it is cheap - nice, then I can get more. The prices and values *will *raise astronomicly, tomorrow or in 30 years....ti-i-i-me is on my side, -yes it is! *singing*

Just read they closed kennecott coppermine in Utah, the biggest coppermine in the world with 400 000 ounces gold and 3 000 000 ounces silver per anno and the same time gold and silver fall down a cliff??? The FED and co post only what seems opportune for them, - ofcourse, since they are no charity organizations. I think, what is going down, is the paper gold, - right so! Many countries consider to buy more physical gold. When people get aware, that they will not get any physical gold for their contracts, because there IS NO physical gold available in that amount, then the only thing which counts, will be the ounce in your hand and that ounce will have a value different from the computergenerated charts about virtual gold.


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## Alentia (Apr 17, 2013)

element47.5 said:


> Kind of funny, GRF is probably the only forum in the entire universe not abuzz talking about the collapse in the price of gold over the past 2 [trading] days.
> 
> A friend of mine picked up a monster box he had bought about $5 higher, his personal check had to clear.
> 
> He said there was a line around the dealer, CNI, in LA. He said all those in line were BUYING.



First of all, "LOL" without reason is a sign of...

Second, we live in different dimension and already measuring everything in gold and silver, fiat currencies do not concern us.

Third, this thread does not belong here.


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## solar_plasma (Apr 18, 2013)

Well, refining as job or hobby will work as well, if the ounce is about 1300$ or 30000$. So, why should anybody concern? The relation to fiat currencies like the dollar or euro is ....interesting, not more, not less.


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## joem (Apr 25, 2013)

Maybe it's more quiet here than on other forums is that most members know how to get tangible gold relativly cheap as opposed to paper gold some else controls.


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## Bjl84 (Dec 27, 2013)

i dont stress that much over what the price does, as the ability to recover and refine pm's from sources not available to everyone helps. Being able to see the values in something that most people see as just plain junk i.e. an old broken computer helps lessen the stress then if i delt in coins and the like


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## chlaurite (Dec 27, 2013)

Personally, loving this crash. I do my "retirement/apocalypse fund" metal buys every January when the new mint years come out. Having spot prices crash a week or two before I buy, nothing but pure long-term profit. :lol: 

And y'know, it may well go down more. But over time, the value of tangible investments like gold and land have held their value while inflation and rubbish fiscal policy eats away at the currencies we buy them with. So, I can wait.


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