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/biz/ - Business & Finance


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19062400 No.19062400 [Reply] [Original]

If the momentum of the gold to silver ratio is divergent where it takes more silver to buy gold yoy, wouldn't it make sense to buy gold until reversal? Then you sell your gold, buy lots of silver, then if the ratio collapses you'll have more.

G/S ratio speculators are banking on it "correcting" to levels in the 2000s to 1980s. What if the trend continues and the G/S ratio goes up to 150 or 200? YOY you can buy less gold with your silver. If you bought more gold and the ratio spreads you can trade for much more silver. What if gold hits 3000 and silver does nothing? then if you think gold is in a bubble you switch back to silver and buy back in to gold. Judging by the momentum of the spread, from 1 to 15 to 1 to 55 to 1 to 105, to recent ATH of 120 to 1, it seems like silver is worth less and less every year and gold has been worth more and more.

>> No.19062436

>>19062400
Buy poo poo

>> No.19062437

>>19062400
What the fuck is YOY?
Just buy silver. The ratio is high as fuck. Don't be a retard.

>> No.19062476

>>19062437
it's how the finnish pronounce "joy"

>> No.19062606

>>19062437
year over year. don't call people retards if you don't know basic facts

do you understand if the ratio gets higher that means your silver is worth less ever year?

>> No.19062642

Silver is an INDUSTRIAL METAL, gold is a STORE OF VALUE. Can you retards get that into your heads?

>> No.19062675

>>19062642
They can ramp up production of silver easily if price goes up, can't do that with gold. Investing in silver for the long term is like investing in steel.

>> No.19062715 [DELETED] 
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19062715

>>19062400
Fuck silver.

Get platinum.

Its historically been worth more than gold.
Its rarer.
Right now its half price of gold.

Once gold hits 2-3k, people will look at platinum and pick it up as an "alternative" and realize again that its rarer.

This is why the facevalue of platinum eagle is $100 meanwhile a gold eagle is $50.

>> No.19062719

>>19062642
Only because the United states government demonetizatized it, historically it's been money for thousands of years before they did that.

>> No.19062739
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19062739

Fuck silver.

Get platinum.

Its historically been worth more than gold.
Its rarer.
Right now its half price of gold.

Once gold hits 2-3k, people will look at platinum and pick it up as an "alternative" and realize again that its rarer.

This is why the facevalue of platinum eagle is $100 meanwhile a gold eagle is $50.

>> No.19062934

>>19062719
Sure, but that doesn't change the fact that silver isn't scarce like gold is, which is why it doesn't make sense to invest in it. If you think silver prices will do well (which would take an industrial demand analysis), it makes much more sense to invest in silver miners than the metal.

>> No.19063091
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19063091

>> No.19063114

>>19062400
>>19062606
The change in ratio trend will be very fast and volatile. You're better off stacking silver as it's dirt cheap. Don't try be a day trader with your physical stack
Silver is so unloved and so cheap which is exactly why you want to be accumulating as much as you can now. Tides will change soon.

>> No.19063116

>>19062934
there are advantages to having a less scarce metal, namely the ability to make change. i don't necessarily want to trade an ounce of gold when an ounce of silver would do. it makes sense to have a spread of metals including plat, silver, and gold. gold is the best money but greshams law says the best money will be hoarded and the inferior money will be spent.

>> No.19063125
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19063125

>>19063091

>> No.19063162

>>19062400
Unless you’re paper trading you’ll lost quite a bit to premiums by trying to do what you describe. Just buy both in whatever proportion you think is sensible then go on a fishing trip

>> No.19063172
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19063172

>>19063125

>> No.19063270

>>19063162
you know how to stack

>> No.19063323

>>19063270
I’m sort of waiting for things to normalize so maybe I can start buying again. The stock market is fun and whatnot but not at all shiny. I never feel like I’ve actually locked in my gains until I can hold them in my hands
Tldr: grug like shiny rock best

>> No.19063367

>>19063323
Gold mining companies are still extremely undervalued and you don't have to worry about silly $130 premium over spot. And you get leveraged to the gold price. Barrick, Newmont, Franco nevada, or simply by the GDX or GDXJ.

>> No.19063669
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19063669

Just look at the chart. It's at 120 right now which is an ATH. Could it go higher? Sure, but it does have a tendency to revert.

>> No.19063875

>>19063367
I have philosophical reservations about feeding the paper market. Shiny or bust.

>> No.19064654

>>19062934
It's fairly scarce. Scarce enough to warrant a 50 to 1 ratio to gold at least.

>> No.19064658

>>19062400
Op is a retard and a faggot
Probably straight outa plebbit