This is what I was saying months ago about Gold…It was/is OVERBOUGHT…You think Soros dumped $800 million because he thinks its going higher?..This is also a bullish sign for the economy…Follow the pro’s…
http://www.huffingtonpost.com/2011/05/17/george-soros-gold_n_863083.html
Rookie,
Soro’s could be right or wrong. I’m sure Warren Buffett didn’t think that silver was going higher when he sold over 100 million ounces for $7-$8 /oz. back in the mid 2000’s. It’s now around $35/oz after reaching the high 40’s. And, yes I’m aware that silver’s price could drop another 30% from here and trade sideways for a couple of years. It will be interesting to see how the precious metals markets play out.
JP
[i]Soro’s could be right or wrong. I’m sure Warren Buffett didn’t think that silver was going higher when he sold over 100 million ounces for $7-$8 /oz. back in the mid 2000’s. It’s now around $35/oz after reaching the high 40’s. And, yes I’m aware that silver’s price could drop another 30% from here and trade sideways for a couple of years. It will be interesting to see how the precious metals markets play out.
JP[/i]
In all fairness its a rough call to use Warren Buffet’s sell on silver in comparison to Soros exit on Gold…Precious metals are up like %400+ since Buffet’s sell…As a trader you want to have the ability to get on the train as its leaving the station and get off before the last stop (downturn)…In hindsight,yes Buffet sold prematurely but Soros sold out after an unprecedented run up in precious metals…Huge difference imho…Not even compareable…Will Gold be %400 higher in 5-7 years?, I dont think so and apparently Soros doesnt think so…Neither does many big hedge fund names…Soros is not the only one making a timely exit…That doesnt mean that Gold doesnt tick higher but I dont know how much experience you or this forum has with commodities…But in commodities there isnt a pullback,its a U turn…Usually a violent U turn…Your point is well taken but listening/following professionals in an industry is easier than you or I making assumptions…$800 million is one heck of a trade to be in and had he or his numerous strategists felt the trade had more in it you can bet he would still be long…Dont be surprised if we find out later on that Soros oversold his long positions (went short)…Remember the best time to get short is when the rest of the world is cheerleading on the way up…
I was just thinking the other day that now maybe the time to short gold. What do you think Rookie ?
I’m a newbie when it comes to trading so bare with me. My experience has come from you and FDJake discussions on this board. My only trade to date is FORD. If you were to short gold, would you short GLD?
I’m a newbie when it comes to trading so bare with me
kj9876,
Please do not trade commodities,precious metals,currency,stocks,options with real money…My advice being that you are asking for it is for you to NOT do it…You will most likely be upset at the outcome…Please take my advice…
And no I wouldn’t short or go long Gold here…There may be weeks/months/years of choppy trading in the metals markets for all we know…Please listen to me…Remain a spectator ,its free and you cant lose money doing it…
…its free and you cant lose money doing it, but you sure as hell cant win any money either… :beer :anon
(However, you should probably follow Rookies advice… he makes alot more money than me)