I still worry down the road, the government can "confiscate" an ETF like GLD in your trading or roth ira account. While it does do a great job at tracking the price, the government can take over and give you inflated US dollars. The Sprott Physical Gold Bullion Trust http://www.sprottphysicalgoldtrust.com/ just came out which you can purchase with your trading or roth ira account to own the physical gold bullion.
As for the gold and silver miners, GDX, GDXJ, SIL are etf's that own a basket of the miners. The 2 reasons I prefer the ETF's is they own miners non traded on the NY stock exchange and it is easier to manage. The only con is one of the miners can explode 200% and you will only see a small increase in the ETF since the EFT may only have a 3% holding in that particular miner.
Anyway, I wanted to get some of these gold thoughts out there to receive some feedback.
Short term, gold is looking to make another run toward $1200. 0 sigma held and the 200 bar just when inside -3 sigma.
wow, I posted this less than 3 week ago and gold has gone up $90 to new all time highs. The miners were not hurt by the broad index sell off. I was pounding my hand at work telling my co-workers, but no one cares. Even with new all time highs, no one know or even cared. More people talked about gold back in late Nov/Early dec when it was making new highs, pretty interesting. The 8% bing cash back is gone on ebay, so deals for 70 proof collectors coins are really hard to find. It is 5/12/10 445pm now, and i bet gold will pull back in price, and the coworkers will say "see gold is too risky". Again, I will be selling my gold/silver when all of my coworker want it. It is going to be the same herd mentality as in the late 90s with the internet stocks and mid 2000s with homes. Some of the junk jr gold miners i have will go up 500-2000% during the gold mania just because they lagged and have gold in their name. Yet, they have not discover any gold! This will be the bubble in gold, but we are from from it as the pessimism towards gold persists in the US. Look at Europe this week, there's panic physical gold buying going on. This will happen here in the US when no one wants to hold US paper dollars. Will this happen in 2 or 7 years, I do not know, but the writing is on the wall to slowly accumulate gold/silver.
ReplyDeleteWell called
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