Gold is tanking down this week

jw7

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Unbelievable.

I had stop losses on all my GLD to protect my profits and they all executed today.

I kind of love and hate E*trade b/c they double charged me twice on the stop loss. Once for the protection and again for the execution. My fault. I should read fine print better.

Well now I have a bunch of cash and no idea where to go from here. Stock market sucks, fixed income sucks, real estate sucks.

Gonna have a fun time with my 1040 this year, but all my GLD was over 1 year so I get the low long-term capital gains tax only.
 

Dback Jon

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Unbelievable.

I had stop losses on all my GLD to protect my profits and they all executed today.

I kind of love and hate E*trade b/c they double charged me twice on the stop loss. Once for the protection and again for the execution. My fault. I should read fine print better.

Well now I have a bunch of cash and no idea where to go from here. Stock market sucks, fixed income sucks, real estate sucks.

Gonna have a fun time with my 1040 this year, but all my GLD was over 1 year so I get the low long-term capital gains tax only.


You could use some of that to sponsor my softball team ;)
 
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jw7

jw7

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You could use some of that to sponsor my softball team ;)

LOL! I don't think so. Is this for a charity or something?

AZHS got another donation today, though.
 

thirty-two

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You could pay off my credit card debt and I would pay you back a fixed monthly payment with 0% interest. :D

Or just donate to the AZHS, that sounds like a better option :)

I have no other advice, sorry!
 
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jw7

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You could pay off my credit card debt and I would pay you back a fixed monthly payment with 0% interest. :D

Well that will happen about 10 mins after I get done putting super-unleadied in a rental car. :)

What happened to the Dave Ramsey thing? I thought you were on the right track?

Or just donate to the AZHS, that sounds like a better option :)
I did and got a nice reply from them. They take in 44K animals per year, perform 22K free spay/neuters and take zero public money. All just done from donations. My favorite charity. I'll probably donate more soon. 1 pet per year re-homed is my small contribution.
 

LVG

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Not just Gold, all PM's tanked.

Gold from 1780.50 to 1657.20
Sliver from 39.62 to 30.93
Platinum from 1761.00 to 1608.00
Palladium from 693 to 634

Personally, I think there's a buying opportunity and plan to jump in quickly. I think prices will rebound.
 

conraddobler

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Not just Gold, all PM's tanked.

Gold from 1780.50 to 1657.20
Sliver from 39.62 to 30.93
Platinum from 1761.00 to 1608.00
Palladium from 693 to 634

Personally, I think there's a buying opportunity and plan to jump in quickly. I think prices will rebound.

Eventually maybe but there is an all out assault on Gold right now.

They have steadily increased the margin requirements to near stupid proportions now.

That and no QE3 means gold is stuck for a while.

QE whatever was driving it, absent that, it's way over valued IMO.

You are at the mercy of those who control the currency, when they pause on printing money you can get left out on an island and have to be able to either sell or hold out until they start again.
 

thirty-two

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Well that will happen about 10 mins after I get done putting super-unleadied in a rental car. :)

What happened to the Dave Ramsey thing? I thought you were on the right track?

Oh, I definitely am back on the right track. Still have debt, just not as much as I did 3 years ago :) Slow process. :(
 

Brian in Mesa

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Not just Gold, all PM's tanked.

Gold from 1780.50 to 1657.20
Sliver from 39.62 to 30.93
Platinum from 1761.00 to 1608.00
Palladium from 693 to 634

Personally, I think there's a buying opportunity and plan to jump in quickly. I think prices will rebound.

"Gold is the new Snuggie. You buy it off late-night cable and end up looking stupid. Everyone is talking about it, and everyone wants to get involved. But think about it. If you were going to invest in gold at all, would you really want to buy it at its 176-year high?" - Dave Ramsey
 
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jw7

jw7

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"Gold is the new Snuggie. You buy it off late-night cable and end up looking stupid. Everyone is talking about it, and everyone wants to get involved. But think about it. If you were going to invest in gold at all, would you really want to buy it at its 176-year high?" - Dave Ramsey

Well Dave Ramsey kind of looks like an idiot on investment-picking.

The article you quoted is from Oct 2009.

Linky

Here is the chart of GLD since 2009:
 

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LVG

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"Gold is the new Snuggie. You buy it off late-night cable and end up looking stupid. Everyone is talking about it, and everyone wants to get involved. But think about it. If you were going to invest in gold at all, would you really want to buy it at its 176-year high?" - Dave Ramsey

It depends on what you think the market will do.
 

Brian in Mesa

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Well Dave Ramsey kind of looks like an idiot on investment-picking.

The article you quoted is from Oct 2009.

Linky

Here is the chart of GLD since 2009:

Ah, I was bouncing between two. One from 2009 and one from 2011.

http://www.daveramsey.com/article/should-i-invest-in-gold/lifeandmoney_investing

"Why would you buy something at its all-time high? From 1833 to 2001, the compound growth rate of gold was 1.54%. Since September 11, gold has made record returns, averaging close to 16% a year. The gains that gold has made in the last 10 years can't make up for nearly two centuries of poor performance. There's nowhere to go but down—and history supports that." - Dave Ramsey

So historically, as a long-term investment it has trailed behind the mutual funds that Dave suggests. Again, he is not for "playing what's hot" in the stock market. He gives advice for people who want the best long-term gains and security.

If you disagree with Dave - keep your GLD investments for the long-term and prove him wrong. :D
 

conraddobler

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Ah, I was bouncing between two. One from 2009 and one from 2011.

http://www.daveramsey.com/article/should-i-invest-in-gold/lifeandmoney_investing

"Why would you buy something at its all-time high? From 1833 to 2001, the compound growth rate of gold was 1.54%. Since September 11, gold has made record returns, averaging close to 16% a year. The gains that gold has made in the last 10 years can't make up for nearly two centuries of poor performance. There's nowhere to go but down—and history supports that." - Dave Ramsey

So historically, as a long-term investment it has trailed behind the mutual funds that Dave suggests. Again, he is not for "playing what's hot" in the stock market. He gives advice for people who want the best long-term gains and security.

If you disagree with Dave - keep your GLD investments for the long-term and prove him wrong. :D

Dave's good at telling people how to get out of debt and that's awesome but that dosen't mean he knows anything about investing or the stock market.
 
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Brian in Mesa

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Dave should stick to telling people how to get out of debt.

He does mostly, but he also fields questions from people once they are out of debt and want to invest. He's up front about telling people that they can do what they want, but since they have asked him...here is his opinion. He's not saying "This is how it is. It is written in stone." :D
 

Pariah

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"Gold is Tanking Down." Where else would it tank?

BIM, I would have thought you'd have been all over this. ;)
 

coyoteshockeyfan

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"No, no, no! Dig up, stupid!"

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BillsCarnage

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"Gold is the new Snuggie. You buy it off late-night cable and end up looking stupid. Everyone is talking about it, and everyone wants to get involved. But think about it. If you were going to invest in gold at all, would you really want to buy it at its 176-year high?" - Dave Ramsey

Ramsey is a fool. Gold will never, ever go down - sans a short dips like this. October is historically a low month for gold. Everyone wishes they had gold 10, 20, 30, whatever years ago..

Think about how gold will look in 20yrs.

Gold has that luster that everyone wants and always will want. Doesn't matter your social status, mankind has always lusted after gold.

This time next year gold will be closer to $2k/oz or more.. Oct is a good time to buy gold.
 
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jw7

jw7

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Not just Gold, all PM's tanked.

Gold from 1780.50 to 1657.20
Sliver from 39.62 to 30.93
Platinum from 1761.00 to 1608.00
Palladium from 693 to 634

Personally, I think there's a buying opportunity and plan to jump in quickly. I think prices will rebound.

Hey Nostradamus, did you get in? Looks like they are climbing back up.

I went to silver and nice couple days gains with a stop loss to protect profits.
 

LVG

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Hey Nostradamus, did you get in? Looks like they are climbing back up.

I went to silver and nice couple days gains with a stop loss to protect profits.

Yes, I bought more SLV at 30.10. Continuing to hold, I think that with the semi-resolution of the EU situation for the time being, the dollar will devalue and PM's will increase as a result.

Though, to be honest, I just play the silver market.
 
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jw7

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Yes, I bought more SLV at 30.10. Continuing to hold, I think that with the semi-resolution of the EU situation for the time being, the dollar will devalue and PM's will increase as a result.

Though, to be honest, I just play the silver market.

Nice. 20% return in just a couple months. Good call and have fun at tax time! :)
 

LVG

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Nice. 20% return in just a couple months. Good call and have fun at tax time! :)

Not so fast...

http://www.zerohedge.com/news/cme-g...s-maintenance-margin-equal-initial-everything

Leads to...

http://www.cmegroup.com/tools-information/lookups/advisories/clearing/files/Chadv11-399.pdf

Which states, in summary:

Subject: Performance Bond Requirements

...

As per the normal review of market volatility to ensure adequate collateral coverage, the Chicago Mercantile Exchange Inc., Clearing House Risk Management staff approved the performance bond requirements for the following products listed below.

...
All Products
Initial / Maintenance Ratio Current New
Various / 1.0

The explanation from Zero Hedge:

Which means that by close of business Monday, millions of options and futures holders will be forced to deposit billions in additional capital to the CME just so they are not found to be margin deficient, and thus receive a margin call. Naturally, since it is very unlikely that this incremental amount of liquidity can be easily procured in one business day, we anticipate the issuance of hundreds of thousands of margin calls Monday, followed by forced liquidations of margin accounts across America... and the world.
In other words - prices should tank Monday.

Which means... BUYING OPPORTUNITY!
 
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jw7

jw7

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Not so fast...

*snip*

Which means... BUYING OPPORTUNITY!

LVG, I'm sure you are making a good point but your graphs don't have axis labels? Not sure what you are saying. All I see are 2 90-degree tipped pyramids waiting for a capstone. :shrug:
 

LVG

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LVG, I'm sure you are making a good point but your graphs don't have axis labels? Not sure what you are saying. All I see are 2 90-degree tipped pyramids waiting for a capstone. :shrug:

Yeah the formatting sucked. I'll fix it when I get on a normal computer.

Basically, the CME raised the capital requirements again. This typically pushes down prices for a few days or so.
 

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Well, so much for the Nostradamus part.

The CME requirements didn't do much to Silver, and over the last few days it looks like silver ran off a cliff.
 
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