Gold Breaks $900 Today ( Jan 14th 2008 )

[Gerry in Idaho]

Well well boys....Digger Bob thinks it is time to sell and he may be right???

I am no Investment guru and in fact usually lose on my of my Investments (other than detectors), but I feel if you bought around $450 to $600 then it may be wise to sell some to get back your initial investment.

Example= Say you buy 10 of the 1/10 oz coins when gold was around $400 oz and you paid about $45 for each x10 = $450. Then to get your initial investment back, you would be wise to sell (5) at $90 each = $450. Now I realize you will actually only get about $85 for each, but I think you can spare the $25 for now. Now you will have most of your initial investment back and still have (5) coils as pure profit. If you sold (6) and keep (4), then you guaranteed yourself a profit and have (4) for free to ride the market.

Digger... Don't sell it all now, you still need to keep a little for that new GPX-5000...

I think this photo should cover the cost of that new detector???
[attachment 78504 GusGolds.JPG]

Actually, one of my good friends (Gus from Idaho) found this Fist Full. I was the lucky one to take the picture though and got to touch it, smell it, taste it...yes...it is real.

 

[JACKHAMMER]

Well with the US economy on a slide the US dollar falling almost everyday...the multi wars...i reckon gold will go to 1200US an oz with hiccups along the way...now wouldn't that be something..ide be able to come to the US more offen and annoy the hell out of Doc.

jh

 

[Digger Bob]

I may or may not be right about the price. It's just that I've seen too many of these sorts of things happen. What goes up,must come down.
I've seen gold and silver skyrocket in the late 70's (thanks to the Hunt Bros.) Interest rates were sky high then too. You could get over 20% in a standard money market fund. The Dow was hovering around 500! What do you have now? Record LOW interest rates, record HIGHS in the stock mkt. How does this relate to gold? Don't know but the price of gold now is more than then, not accounting for inflation.

The dot com run up of a few years ago. Millions made in a short time and then lost again. Among the biggest losers were little guys like us who got caught up in the buying frenzy at the top. And then prices crashed. Real estate, same thing. Prices went up so fast and so high many were priced out and those who were on the edge took a chance that it would continue. It didn't. Credit card debt at record amounts. Same thing, that's the next big crash coming. Although I think it will come after gold prices stabilize lower. That may in fact drive gold prices even lower. Who, but the rich could afford gold then?

Prices will come back for sure. Much slower and more reasonable in keeping pace with the reality of SUPPLY AND DEMAND. Keep that in mind! A lot of the price increase you are seeing is the result of speculation, not real demand. You even see it with oil. Yes, the demand is there but a good chunk of the rapid price increase is pure speculation in the commodities market. People betting it will go even higher.

At any rate, I think if one had been thinking about selling any of thier gold, now would be a good time. But not to buy. Buy back in later when it drops.

What comes up must go down. It's one the irrefutable laws of the universe. Checks and balances. Wait and see. Just my opinion.

Digger Bob

 

[Alan]

I agree with a lot of what you say there Digger Bob but on the other hand.....
Taking inflation into account the 79 high was over US$2000.
The lack of exploration in the 80's 90's highlights the supply shortfall.
Interest rates in the US might be going down but they are going up here.
India and China are getting richer and they love gold.

[attachment 78530 IMG_4134_2.JPG]

How longs a piece of string?

Alan

 

[Grubstake]

It depends. Is it flightline? if it is, I'll take 5 gallons of prop. wash to go with it. Grubstake

 

[Gus in idaho]

Gerry,
As I have mentioned many times before on this forum, my success is owed to the field training I have received from you.
For anyone interested in sharpening their skills, I would give this man a call.
I am so eager to get out and use my new gpx-4000 that I just recently purchased from you.
I have numerous patches I want to get back to and pick up the crumbs my 3000 missed.
I think I was just as excited to let you take those photos of my gold. They will be hard to part with.
Take care bud,
Gus-

 

[AU MARC]

I agree with fluctuations and gold`s up`s and down`s but in 5 years gold could be 2500 and ounce and a down turn could be 1100 an ounce,it`s all relative..I don`t think we will ever see 400.00 an ounce gold that we had just a few short years ago.Just my 2 cents though...

Marc