We think alike!
I've already bought about $5,000 worth of silver, mostly bullion but some coins as well. Been buying since around $19.00/oz. Hard assets only, no certificates. I like to be able to touch my investments.
I might off-load some when it hits $50, but not before. Keeping 60% long-term and off-loading the rest periodically as it goes up to recoup my capital investment. Once I make back the $5,000 I've put in, I'll sit on the rest for a few years.
Want to start getting more coins, however have to get 1oz silver coins in large quantities for it to be worth it.
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And I believe you're right about $100 an ounce. Don't know if you've been following the news about the JP Morgan litigation for silver market manipulation. I'm expecting we'll see a brief fall in silver over the next month or so as this litigation comes to fruition, and then it should take off like a balloon. Hard to say where it will end up, but I believe $100 is a conservative estimate. Could be over $200 even once it hits its true market value.
In any case, its value has increased something like 50% just this year. Would love to see a stock portfolio match that. All those suckers in the stock market are getting looted by inflation, while commodities are approaching escape velocity from our economic gravity field.
Hard to say what will happen in the next few years.
edit: Gold is the same way, but less useful for us common investors. It's too expensive for me to buy in any decent quantity. Have to buy gold with five figure investments, not a few hundred here and there. I think Gold has increased in value 400% in the last few years. Was trading at $250 awhile back, and it hit $1,375 recently. Expecting it to hit $2,500 in a couple years. Especially now since that announcement earlier today, the Fed printing at least $600 billion over the next few months.
Don't worry about the herd. They always jump into the market too late. We are already making money, and we need the yuppies to buy us out when we sell. I also have tried to tell family/friends about silver, but they do not have a clue and don't seem to want to have a clue. Don't bother, I've found it's honestly not worth telling people. Just make your money and sit back with a nice smug smile on your face... You earned it by not being a sucker.
On a different note, for people who don't really know... Because of your dollar devaluation and inflation, everything relating to paper currency, equity markets, stock markets, etc. is all becoming less and less valuable. Example: In 1960, $1 could buy a full tank of gas, a sandwich, and a massage. Today that $1 will only buy you a cheap newspaper.
Commodities are some of the very few things that are
holding value. Gold especially. It rarely goes up or down in value, however in 2003 you needed $300 to buy a 1oz gold dollar. In 2010, you need $1,350 to buy that same gold dollar.
So by shifting your money to gold (out of savings account, out of stocks, out of retirement), you retain that value. Gold is only a good investment when the economy is tanking, and it is/has been for some time. This recent announcement by the Fed to print $600bn more pretty much guarantees Gold to hit +$1,500 by 2011 or end of January.
So if you have a pile of money sitting somewhere, like in a piggy bank or real bank, I would strongly encourage you to take out 10-25% of it AT LEAST, and invest it into precious metals. Honestly I would take 50% of your savings and stick 15% into gold bullion and 35% into silver bullion.
I wish I had more money to invest!
I bought the watch on my wrist for 1,300,000 Indonesian Rupiahs back in 1996. It worked out to about $150 USD at the time. If you have $30,000 in your savings account, you don't want to still only have that $30,000 in the account in ten years when it'll only be worth a cup of coffee and a bagel. So far from what we've seen over the past decade with precious metals, you'll keep the value of that $30,000 regardless of what the number is.
You don't make money in gold/silver trading, you just stop it from getting sucked away by inflation and the Feds printing press.
edit: sorry about the length.
