Or we are going back to single digit numbers and it was a fake break out.
Parker Brooks
So been reading into this and it truly draws me in. What should be my first pm? Thinking silver then platinum?
Jonathan Sanchez
Let it fall. The lower it goes, the sooner demand for physical is overwhelmed.
Charles Green
You are on the right track user. Silver is leverages high so if silver gets to a lower silver to gold ratio, you can shift some funds to gold. Also, platinum sounds good, but it is up to you. Tldr, silver should be your largest position, then platinum or pladium, then gold.
Dylan Myers
Somebody asked yesterday why the miners were going up when silver was going down. I answered that the miners never reacted even to $21-dollar silver in the first place, never mind $29-, and that the underperformance in the miners was completely unprecedented. Good new graph from Patrick Karim here showing this to be the case, for anybody still doubting whether or not we are at rock-bottom. This compares the present miner bull-run with the 2016 one, in which silver only got to $20.
Karim is also suggesting that we have now hit a bottom in the silver juniors, and that the miners will now begin to diverge from the paper price of the metal.
It’s often stated on /pmg/ that paper money doesn’t hold its value. And I agree with this in general, and in theory: a dollar in your bank account today will not be as valuable in a decade or three’s time.
But, ironically, this doesn’t seem to be literally true of actual physical banknotes. Especially if you take care of them, old banknotes are highly valued collectors’ items. I guess precisely because they’re so flimsy, easily destroyed and when new of so little intrinsic value that after only a few decades have gone by, they’ve already become rare and hence valuable.
This is perhaps less the case in the United States, but for example Series E UK banknotes that have been withdrawn are already rapidly gaining a premium. Irish pound notes withdrawn after the euro was introduced were mostly totally destroyed so even a £10 can sell for $50 as a collectors item. Early 1990s South African banknotes if they’re nice crisp and uncreased can fetch a pretty penny even low denominations like R10.
Might be worth putting aside some new physical banknotes, even if technically fiat is going down?
Benjamin Cox
And, of course, everybody should remind themselves of this chart. Miners have almost never been so undervalued in human history. And this time, we'll go, not merely to 1984 levels but beyond them. What your entry-point now is pretty much meaningless in the long-term.
