quote:I hope you chuckle all the way down this bull trap. Beautiful double-top forming. See you at the bottom.
Originally posted by SchoolsOut1Gold/silver mining/royalty/streaming stocks
Little over 300% gain for me last year and off to a good start this year.
Skinner likes to post charts showing how equity markets outperform gold, but that hasn’t been true if you started in 2000. Gold blows most everything away (in general). People love to talk it down, but I just chuckle)
quote:
Originally posted by skinneejquote:I hope you chuckle all the way down this bull trap. Beautiful double-top forming. See you at the bottom.
Originally posted by SchoolsOut1Gold/silver mining/royalty/streaming stocks
Little over 300% gain for me last year and off to a good start this year.
Skinner likes to post charts showing how equity markets outperform gold, but that hasn’t been true if you started in 2000. Gold blows most everything away (in general). People love to talk it down, but I just chuckle)
Doubtful, but when the time comes to rotate to something else, I will. For now, I like what I see.
Where is your target for the bottom, out of curiosity?
Yeah, I don’t doubt that gold has had a good run. I can pull up these numbers myself… We know historically when gold has a run like this, it eventually ends and comes back down to normal…
Gold is a commodity. There is nothing special about it. It won’t increase it’s profits, or grow it’s business… Essentially the “purchasing power” of an ounce of gold has been the same for thousands of years. Therefore eventually the market will price it fairly with respect to other commodities…
Just to put it in perspective… In about 600BC an ounce of gold would buy you about 350 loaves of bread according to the Old Testament… Today, a loaf of bread is around $2.50. Multiply that times 350 and you get $875. Let’s go on the high side and say the average loaf of bread is $3.50… That would put a fair value on gold around $1225 on the high side… So, if you ask me what I believe an ounce of gold to be truly worth today, would think between $900 - $1200 dollars an ounce which is about where the price is now.
So, my point is this… Gold is not an “investment”… An “investment” grows your PURCHASING POWER. Gold is great at RETAINING value (purchasing power) (assuming you pay a good price for it).
On the flip side, this is why CASH is bad… Inflation has the opposite effect… The growing money supplies initiates a rise in absolute price for these commodities. You LOSE PURCHASING POWER when you hold on to cash.
PURCHASING POWER => In 1900 $100,000 was a JACK LOAD of money… You could probably buy a mansion with that back then… Today, $100,000 isn’t going to buy you a big house… It’s the SAME amount of money, but the PURCHASING POWER of that money has dropped off a cliff… Owning physical gold mitigates this loss of purchasing power (i.e. true value).
Also, Schoolsy… You are being misleading… If you made 300% return on gold in 1 year, it’s safe to assume that you sure as heck aren’t “investing” in gold… That would make you a “trader”…
quote:
Originally posted by skinneejAlso, Schoolsy… You are being misleading… If you made 300% return on gold in 1 year, it’s safe to assume that you sure as heck aren’t “investing” in gold… That would make you a “trader”…
MUX was my main holding
And, btw, same thing you said about a good run in gold can be said about stocks. The thing about gold that you are wrong is it isn’t a commodity, but the powers that be would want you to think that way. It is a tier 1 asset…
Anyways, here’s to anot her good year
Go MUX, GORO, AG, DRD AND NGD
MUX is not gold. It’s a gold mining company. They can increase 300% because they are a company and can increase their profits by finding more gold or reducing their overhead, or because the market is speculating a crash in the dollar (short term boost). But if you look at the sector as a whole (which is a fair exercise since DoubleN is asking about a 7 year “401K type of” investment), then it’s {gold} certainly been a crappy “investment” over the past 1 year and 5 year spans (Check out chart for a gold ETF like GLD). You didn’t make a 300% return because you “invested in gold” or because gold has been “blowing everything away” as you suggest. It’s because you found a company that stood out from the crowd. If I look at a “basket” of miners in an ETF like a (GDX), then the tape looks the same as GLD. You found a gold nugget in a pile of dirt… You bet on “00” and it paid out big… Congrats to you for placing a nice bet, but that’s not the type of “investing” that DoubleN is looking for (I assume)…
Anyway, the point is that, sure, you can look in almost any crappy sector and find a shining star… But that doesn’t make that sector a “good investment”…
Back to the topic.
If you really want to double your 401k balance in 7 years or less, here is RBF’s 4 step plan to success:
1st. Make it a self directed account 401k acccount
2nd. Invest in your manhood (minimum of 3 inch increase)
3rd. Attend a men’s etiquette school
4th. Become a gigolo with rich clientele
Your bed name can be Nookie Nookie… AKA: DoubleN…
RBF
I don’t think Duece made that kind of cash… “Pimpin’ ain’t easy”…
quote:
Originally posted by skinneejMUX is not gold. It’s a gold mining company. They can increase 300% because they are a company and can increase their profits by finding more gold or reducing their overhead, or because the market is speculating a crash in the dollar (short term boost). But if you look at the sector as a whole (which is a fair exercise since DoubleN is asking about a 7 year “401K type of” investment), then it’s {gold} certainly been a crappy “investment” over the past 1 year and 5 year spans (Check out chart for a gold ETF like GLD). You didn’t make a 300% return because you “invested in gold” or because gold has been “blowing everything away” as you suggest. It’s because you found a company that stood out from the crowd. If I look at a “basket” of miners in an ETF like a (GDX), then the tape looks the same as GLD. You found a gold nugget in a pile of dirt… You bet on “00” and it paid out big… Congrats to you for placing a nice bet, but that’s not the type of “investing” that DoubleN is looking for (I assume)…
Anyway, the point is that, sure, you can look in almost any crappy sector and find a shining star… But that doesn’t make that sector a “good investment”…
I posted the chart of the performance of gold (not miners) since 2000…it was a cherry picked date, but it is what it is. Gold has outperformed the indexes in that chart over that time frame.
I stated in my first post here to buy miners/royalty companies, etc.
By the way, most miners did very well in first 8 or so months of 2016…some were even 8+ baggers, not the 3-4 that MUX was. GDXJ is where I’d put my money, not in GDX if I were using that vehicle. I sold the majority of my holdings (my rollover 401k was nothing but MUX) and my brokerage was mainly MUX at a higher level…I have a thread on
quote:
Originally posted by skinneejI don’t think Duece made that kind of cash… “Pimpin’ ain’t easy”…
Hey, there is a hole in my success plan… If 2N isn’t any better looking than duece, then he’ll end up with the same clientele…
1st rule of gigoloing… NO toe sucking…
Here is a reference guide for the beginners:
https://meetmerighthere.wordpress.com/2011/02/10/gigoloing-for-beginners/
RBF
Oh yea, and what double top are you talking about and what is your low for gold?
Here’s a thread here earlier where I talked of MUX…My money is where my mouth is and that was an easy bet there.
http://old.charlestonfishing.com/forum/topic.asp?TOPIC_ID=160149&whichpage=2
Apparently, you were on that thread and could have taken the ride with a few of us.
The OP talks about doubling his money in 7 years and that is highly unlikely (well, these days, maybe not) by doing what you say is “Investing”
Again, I offered my point of view and a few vehicles for him to achieve his goal. It can be a bumpy ride, but I think the reward outweighs the risks.
quote:Sorry might have been looking at the wrong chart. Not sure what I was looking at yesterday... You can remove my "double top" comment from the ledger for now.
Originally posted by SchoolsOut1Oh yea, and what double top are you talking about and what is your low for gold?
I don’t have a “low” for gold. Predicting a “low” would require having a magic ball that can tell you about the next market freak out or sell off.
That being said, I already gave you a price of what I thought gold is “worth” in terms of US dollars.
And again, my point is not about the absolute dollar value of gold. My point is that over thousands of years, gold has not increased purchasing power which means it’s not an “investment”. I can be a great way to preserve purchasing power relative to the dollar. The stock market on the other hand has made many people “rich” over the years.
Personally, I stay away from most speculative stuff nowadays. You know as well as I do that an “investment” in gold is based on speculation. Your speculation (which you probably got from Peter Schiff) is that the dollar is going to crash which makes gold a good place to put your money. While I don’t necessarily have a problem with this premise, it’s a “speculation”. It might come true, it might not.
If you were to look at my portfolio, you would see that the majority of my holdings are in large, boring companies (MO, BP, T, PM, DFS, etc) that pay good dividends. I do take some speculative stocks once in a while, but it’s typically small bets.
quote:If you are making 300% returns YoY, you should be close to retiring by now...
Originally posted by SchoolsOut1Here’s a thread here earlier where I talked of MUX…My money is where my mouth is and that was an easy bet there.
http://old.charlestonfishing.com/forum/topic.asp?TOPIC_ID=160149&whichpage=2
Apparently, you were on that thread and could have taken the ride with a few of us.
The OP talks about doubling his money in 7 years and that is highly unlikely (well, these days, maybe not) by doing what you say is “Investing”
Again, I offered my point of view and a few vehicles for him to achieve his goal. It can be a bumpy ride, but I think the reward outweighs the risks.
I don’t take speculations on stuff like gold that has historically a bad track record as an investment for thousands of years.
You are younger than me. You can speculate. That’s fine…
But don’t tell guys like DoubleN that “gold is an investment that blows everything else away”… That’s not true… Hasn’t been true for the last 3000 years, won’t be true for the next 3000 years… Maybe you can find a 10 year window in there, but it won’t continue forever.
By the way, the topic you posted above was another good discussion about gold. My point is easily reinforced with the LONG TERM chart that I posted in that other thread.
I firmly believe that every American should own a piece of the S&P. It’s the old phrase “if you can’t beat 'em, join 'em”… Everyone in America should own a part of the American economy. It ain’t going anywhere.
quote:
Originally posted by skinneejquote:If you are making 300% returns YoY, you should be close to retiring by now...
Originally posted by SchoolsOut1Here’s a thread here earlier where I talked of MUX…My money is where my mouth is and that was an easy bet there.
http://old.charlestonfishing.com/forum/topic.asp?TOPIC_ID=160149&whichpage=2
Apparently, you were on that thread and could have taken the ride with a few of us.
The OP talks about doubling his money in 7 years and that is highly unlikely (well, these days, maybe not) by doing what you say is “Investing”
Again, I offered my point of view and a few vehicles for him to achieve his goal. It can be a bumpy ride, but I think the reward outweighs the risks.
I don’t take speculations on stuff like gold that has historically a bad track record as an investment for thousands of years.
You are younger than me. You can speculate. That’s fine…
But don’t tell guys like DoubleN that “gold is an investment that blows everything else away”… That’s not true… Hasn’t been true for the last 3000 years, won’t be true for the next 3000 years… Maybe you can find a 10 year window in there, but it won’t continue forever.
By the way, the topic you posted above was another good discussion about gold. My point is easily reinforced with the LONG TERM chart that I posted in that other thread.
I firmly believe that every American should own a piece of the S&P. It’s the old phrase “if you can’t beat 'em, join 'em”… Everyone in America should own a part of the American economy. It ain’t going anywhere.
The guy said "PLAY
I’m not trying to “get” you. Don’t be so paranoid. Did you not pull me into the gold debate??? You addressed me first now you are accusing me of trying to get you? Don’t be ridiculous…
quote:
Originally posted by skinneejI’m not trying to “get” you. Don’t be so paranoid. Did you not pull me into the gold debate??? You addressed me first now you are accusing me of trying to get you? Don’t be ridiculous…
You’ve attempted a few “gotchas” here…I simply cherry picked a chart/date like you did in the other thread and it sure does appear to me that gold has been the place to be for a while…
Anyways, check back with me a little later on in life and we’ll compare notes/performance. 
You cant invest “play money”. You can only invest real money. Never bought a stock with monopoly money.
ohhhh, another “gotcha” lol
Play money, via the power of intuition, leads me to believe it’s not a core holding that he is necessarily trying to preserve (although, he would like to double it). Anyways, meeting a guy at the farm tomorrow to look at a field we are clearing if you ain’t doin’ nuttin’. Gonna plant for doves this year, hopefully.
RBF believes 2N needs to seek counsel from Suze Orman… It all starts with Coffee… Just another pro tip…
RBF