Need gold advice

[Smoke]

Thinking of investing money in gold. Prices continue to soar. Seems like a good investment . Any advice from others who have done so would be appreciated

[KGambler]

The answer is... "it depends".

What country do you live in?

About how much are you looking to invest?

[FourLengthsClear]

The cheapest way is through futures or CFDs.
Daily prices are volatile so buy on dips.

I wouldn't buy gold as an investment personally. Sooner or later (more than likely sooner with all that is gong on in financial markets), people will realise that its historic 'store of value' label is a facade and it is really just a yellow metal with very little use.

[KGambler]

The cheapest way is through futures or CFDs.
Daily prices are volatile so buy on dips.

I wouldn't buy gold as an investment personally. Sooner or later (more than likely sooner with all that is gong on in financial markets), people will realise that its historic 'store of value' label is a facade and it is really just a yellow metal with very little use.

Actually it has many uses. You are confused. It's not surprising, because people in finance are always trying to scare people away from investing in gold. Many people believe their B.S.

It's current value is far higher than it would be if it traded purely as a commodity. That is what you mean to say. It does have value as a commodity. It does have valuable uses. It does have inherent value. But of course it would not be $1300 an ounce based on its value as a commodity.

People are turning to gold because it is a historic "store of value" which can not be printed by any government. Most governments have the printing presses on overdrive right now. Most Americans have no idea that hyper inflation is even a possibility for the USD, being they have not experienced it personally. One of the things I learned when I lived in a Latin American country is that people were scared shitless of inflation and did not trust their currency one bit. The US gov is acting like a Banana Republic, and the currency will suffer the predictable consequences. The question is "when?".

Even if you don't believe this, it is still assinine to NOT have some small percentage of your wealth invested in gold/precious metals/commodities/"commodity currencies". This is known as a "hedge", diversification, not having all of your eggs in one basket, etc.

[FourLengthsClear]

Actually it has many uses. You are confused. It's not surprising, because people in finance are always trying to scare people away from investing in gold. Many people believe their B.S.

It's current value is far higher than it would be if it traded purely as a commodity. That is what you mean to say. It does have value as a commodity. It does have valuable uses. It does have inherent value. But of course it would not be $1300 an ounce based on its value as a commodity.

People are turning to gold because it is a historic "store of value" which can not be printed by any government. Most governments have the printing presses on overdrive right now. Most Americans have no idea that hyper inflation is even a possibility for the USD, being they have not experienced it personally. One of the things I learned when I lived in a Latin American country is that people were scared shitless of inflation and did not trust their currency one bit. The US gov is acting like a Banana Republic, and the currency will suffer the predictable consequences. The question is "when?".

Even if you don't believe this, it is still assinine to NOT have some small percentage of your wealth invested in gold/precious metals/commodities/"commodity currencies". This is known as a "hedge", diversification, not having all of your eggs in one basket, etc.

I don't explicitly disagree with anything you have said but that 'store of value' and hedging property is a throwback to when governments printing presses were backed by physical gold reserves which long ceased to be the case. It would be just as valid in the modern world for silicon or meteorite fragments to be that store of value.

Hyper inflation in the US would see the dollar go down the toilet, along with other western economies. I can see no logical case for gold prices not doing the same in those circumstances.

[BettingGeek]

Thinking of investing money in gold. Prices continue to soar. Seems like a good investment . Any advice from others who have done so would be appreciated

short sale it.
thanks me later

[rkelly110]

What goes up, must come down. Buy on a double bottom and sell on a double top.
Don't go crazy, it's just like gambling. Use your stop losses. If you have a good manager,
use him for long term investing. Just be careful, the economy could turn real quick.

[KGambler]

I don't explicitly disagree with anything you have said but that 'store of value' and hedging property is a throwback to when governments printing presses were backed by physical gold reserves which long ceased to be the case. It would be just as valid in the modern world for silicon or meteorite fragments to be that store of value.

Good point.

But while true, you are discounting the psychological aspect of it. Gold has value throughout the world, in all kinds of places, in all kinds of situations. Meteorite fragments do not. Like you said, it is a historic store of value. That is not going to change anytime soon. People will not suddenly want meteorite fragments.

Hyper inflation in the US would see the dollar go down the toilet, along with other western economies. I can see no logical case for gold prices not doing the same in those circumstances.

Even if the first sentence were true, there would still be entities looking for a safe haven from the currency crises in the USD, Euro, Pound, etc. These would include certain exporting countries and wealthy people. Although demand for exports would be down, there would still be countries looking for a new reserve currency. For example, we are not going to stop buying oil (we would just buy less of it). The dollar could lose its place as the "world's currency". Many countries, such as China and Russia, are already starting to buy gold in lieu of dollars. At this point it is still just a trickle though... In the situation you describe, expect the floodgates to open.

Let's face it, it is simply not possible for us to pay our foreign debts. We can outright default or we can "pay back" by inflating the currency (a sneaky form of default). Inflation is also a sneaky, "hidden" tax on the citizenry. It is the path the US gov has chosen. The dollar is ******.

[KGambler]

I could be wrong, but I think what he means is more along the lines of "I want to buy some gold. How should I do it? Should I buy physical gold? From where? What coins? Or should I buy a gold ETF? Which one?"

The way I see his question, I don't think he is asking whether we think gold is going up or down. I think he wants to know HOW he should invest in gold.

I could be wrong.

[Smoke]

Thanks for the advice guys,

To answer your question kgambler, united states and approx 16k, rather invest then gamble it all away on sports

[Smoke]

Yes I want to invest, whether it continues to go up or not I wouldn't think could be predicted. I guess its a gamble as well but an investment at that'

[JimmysEgo]

i think you missed the boat. like everyone that wanted to buy real estate last year because it was so high. like everyone wanted to invest in dot coms 10 years ago because it was so high. they all paid the price. but i could be wrong, "past performances does not guarantee future results".

[KGambler]

Thanks for the advice guys,

To answer your question kgambler, united states and approx 16k, rather invest then gamble it all away on sports

OK, I'm not really qualified to answer, but I will anyway.

For that amount I would probably just buy 1oz coins. Ask on different forums what kinds of coins you should be buying. Basically, don't buy collectibles and just look for standard 1 oz coins which are priced close to the actual spot price of gold.

I don't know if you would be worried about keeping that amount of gold in your house. A safety deposit box would cost about $100 a year at the typical bank. That is another option.

If you buy this amount of gold, and the government is able to track the transactions, you better pay all of your taxes on any gains you achieve. In other words, if you buy a gold ETF like GLD and eventually sell the shares for a profit, you will have to pay a tax on that gain. And it is not the typical capital gain tax like you would pay for selling a stock for a profit. There is a higher rate for a gain from precious metals investing.

That's why I would buy coins with cash. If the government can not track the transactions, don't ever pay the tax. **** the government. They will just give the money to rich bankers anyway.

2+2 is a poker forum, but they have an investing sub forum. They have people there who know much more than me about investing in gold, buying gold coins, etc. I would ask this same question there. You have to decide for yourself who to listen to. Some "gold bugs" are pretty extreme and will laugh off the very thought of buying into a gold ETF. They would never tell you to buy anything but physical gold. They don't trust the banks, nor the government, to put it mildly. Personally, I think buying into a gold ETF is fine. If you were looking to buy a large amount of gold, at least some of that should probably go into an ETF. But you have to decide for yourself about how you feel about this kind of issue.

[KGambler]

Another thing to think about is if you want to buy gold miner stocks. I would reccomend that as well.

[KGambler]

i think you missed the boat. like everyone that wanted to buy real estate last year because it was so high. like everyone wanted to invest in dot coms 10 years ago because it was so high. they all paid the price. but i could be wrong, "past performances does not guarantee future results".

Those were examples of investment bubbles. When your entire neighborhood has a substantial portion of their net worth invested in gold, than you could argue that gold is an investment bubble. The reality is that most people are not invested in gold. The vast majority of people don't even have 3% of their wealth invested in gold. People are not taking out huge loans to buy hundreds of thousands of dollars worth of gold. This is nothing close to a bubble. It may become a bubble in the future. The gold market is not comparable in size to the real estate market, but this is still nothing close to a bubble IMO.

[Smoke]

Good advice kgambler. I would mostly all invest In physical gold, i don't trust the government either. Would keep at home in safe,not worried, well protected if you know what i mean. I will. Definitely be buying soon rather than gamble all the money away. However, don't get me wrong, I'll still. Be betting on sports and at casino

[obamaismyuncle]

wow

[THE PROFIT]

I thought you wanted "jj" gold advice

[YorkHunt]

start your own cash for gold company and pay an 1/8th what its worth! Million dollar business!

[sweethook]

i would say short sale it , there looking and finding a lot of it now its so high

[Whippit]

expansive underground tupperware deposits discovered in northeast

might be good time to go long before CNBC makes announcement

[wtf]

to say gold will "tank" with hyperinflation is impossible

BECAUSE gold is traded in US dollars

if you see gold being traded in euro's only then the USD will tank, that is when it happens

even in london gold is quoted in usd

[dmtrader]

start your own cash for gold company and pay an 1/8th what its worth! Million dollar business!

This is probably the best idea.

[alling]

Commentary: Guru Says Avoid Gold and Emerging Markets, Try Large Caps

http://finance.yahoo.com/banking-budgeting/article/112052/what-not-to-buy;_ylt=Al9fCUaVhHLWWCIzolBY1Ea7YWsA;_ylu=X3oDMTFmdWJmbGw4BHBvcwMzBHNlYwNleHBlcnRPcGluaW9uRHluYW1pYwRzbGsDd2hhdG5vdHRvYnV5?mod=bb-budgeting

[FourLengthsClear]

to say gold will "tank" with hyperinflation is impossible

BECAUSE gold is traded in US dollars

if you see gold being traded in euro's only then the USD will tank, that is when it happens

even in london gold is quoted in usd

........... and who outside the US would want to hold USD denominated assets in that case? US treasuries/bonds and Gold would crash and burn.

Do you think that the Hong Kong authorities would maintain the USD peg in those circumstances?

[Outlawdino]

Buy physical gold... unless you are a "pro" don't play the contratcs, ETFs. Buy fractional gold and/or silver...ie, 1/10 ozt, 1/4 ozt gold coins. Also, the mining shares have been holding their own. Buy with cash...if you spend $10,000+ in cash at one place at one time then you will be required to give your info, thus the gov't will be aware...so, just spend your $16k over a few purchases at a few different places. Mainstream news doesn't support gold or silver, they would rather you spend your money elsewhere...stock market, ect.

[jjgold]

Gold up $13 today

Yes do not trade on exchanges as you will get destroyed, it is too volatile and mainly for pros to trade

[ttrace35]

Invest in coke. You can serve JJGOLD, and triple you money in no time. He just hit that big superbowl bet. He will be looking to get his head right.

[shady610]

Silver is the way to go. It has more potential more uses and is undervalued compared to it's all time high

[Smoke]

Invest in coke. You can serve JJGOLD, and triple you money in no time. He just hit that big superbowl bet. He will be looking to get his head right.

If i lived in or near new jersey i probably would.

JJ would get first my sell of day cause i'd need a place that's secure with cameras to watch for police while i ready the product.

[Smoke]

Gold up $13 today

Yes do not trade on exchanges as you will get destroyed, it is too volatile and mainly for pros to trade

JJ, can you make a video about gold to get me pumped up for investing, would be appreciated when u get the time.

Doesn't have to me long, a few minutes is fine

[Outlawdino]

From Kitco.com's charts...10 yr gold, high 1423.70, low 255.30...silver 10 yr high 30.91, low 4.02. here's my point, look at the 10 yr charts, 5 yr charts, 1 yr charts, ect.

Stop harping on a market that you think you know about...why would I trust my financial worth/future on anyone's advice on this forum vs the charts???

[pronk]

The gold bubble is just about to burst, mark my words. In short 2 years time gold prices will drop more than 50%.

[cjwatsonfan32]

Sell gold because right now it worth so much money and you can use money on anything.

[jwbama23]

bubble. Just like real estate was a few years ago. How are all of those house flippers doing these days. Most have lost everything and living in apartments.