Finding a bottom
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Finding a bottom
By looking at today's starting gold price, the Fed easing was not priced into gold because it's getting wacked and appears to be at a level heading down much further then anyone will want to think or admit. So all of us PP guys will have to wait it out. If there is a silver lining, you can buy more gold cheaper now because rebalancing looks to be coming earlier this year if the price goes down much more. Selling some stocks at all time highs and buying gold lower is how we play the game. Over time, this has worked gains by locking in profits and lowering volatility.
Re: Finding a bottom
Gold hit $1,180 in late June and was at $1,260 in less than 48 hours....a strong show of demand at that price. I think it will break through at this point and a flood of stops will drive it to $1,100. I'm not selling because selling after this move would be panic selling, generally a no-no.
I'm not a happy camper though. I'm about 50% in global stocks so at least that side is holding up. That percentage is drifting more in favor of stocks every week it seems.
I'm not a happy camper though. I'm about 50% in global stocks so at least that side is holding up. That percentage is drifting more in favor of stocks every week it seems.
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buddtholomew
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Re: Finding a bottom
The PP reminds me of a wide receiver whose lost both his hands. He can run the correct route, but can never catch the ball. Left hand is gold and right hand LTTs.
Last edited by buddtholomew on Thu Dec 19, 2013 11:32 am, edited 1 time in total.
"The first principle is that you must not fool yourself and you are the easiest person to fool" --Feynman.
Re: Finding a bottom
Good thing he has four hands.
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buddtholomew
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- Joined: Fri May 21, 2010 4:16 pm
Re: Finding a bottom
Equities and Cash are the legs. The PP still has no hands...annieB wrote: Good thing he has four hands.
"The first principle is that you must not fool yourself and you are the easiest person to fool" --Feynman.
Re: Finding a bottom
Hey, Budd. That was very MT-like!buddtholomew wrote: The PP reminds me of a wide receiver whose lost both his hands. He can run the correct route, but can never catch the ball. Left hand is gold and right hand LTTs.
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buddtholomew
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- Joined: Fri May 21, 2010 4:16 pm
Re: Finding a bottom
I can only wish to be as elegant and thoughtful as MT.Reub wrote:Hey, Budd. That was very MT-like!buddtholomew wrote: The PP reminds me of a wide receiver whose lost both his hands. He can run the correct route, but can never catch the ball. Left hand is gold and right hand LTTs.
On another note, I did some rough analysis around the daily movement of GLD and the end of day returns for the portfolio over the course of this year. It appears as though GLD and the PP move in tandem with each other from month to month and similarly on a daily basis. The relationship holds true even as the allocation to gold has declined. Can someone produce more rigorous analysis and confirm or deny?
Last edited by buddtholomew on Thu Dec 19, 2013 11:37 pm, edited 1 time in total.
"The first principle is that you must not fool yourself and you are the easiest person to fool" --Feynman.
Re: Finding a bottom
Gold is close now to the price I sold out my bullion coins to pay down my mortgage a few years ago. I was crying for selling too low but now it seems that it didn't matter. It should be near a bottom now or so it seems.
Re: Finding a bottom
It is true that the wide receiver had lost both of his hands and most thought that his career was over...except for the cheerleader with the heart of gold with whom he shared an unshakable long term bond. He placed stock in her, and treated time with her like cashing a check drawn against an account of future joy.buddtholomew wrote:I can only wish to be as elegant and thoughtful as MT.Reub wrote:Hey, Budd. That was very MT-like!buddtholomew wrote: The PP reminds me of a wide receiver whose lost both his hands. He can run the correct route, but can never catch the ball. Left hand is gold and right hand LTTs.
Regardless of whether his team was on defense, offense, special teams or the clock had stopped, he felt like she provided him with protection and safety.
She balanced him, and when he got out of balance, she re-balanced him.
Q: “Do you have funny shaped balloons?”
A: “Not unless round is funny.”
A: “Not unless round is funny.”
Re: Finding a bottom
Now that brought a tear to my eye!
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buddtholomew
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- Joined: Fri May 21, 2010 4:16 pm
Re: Finding a bottom
Touché
"The first principle is that you must not fool yourself and you are the easiest person to fool" --Feynman.
Re: Finding a bottom
7,650 posts. I'm doing it baby!Desert wrote:THAT was good.MediumTex wrote: It is true that the wide receiver had lost both of his hands and most thought that his career was over...except for the cheerleader with the heart of gold with whom he shared an unshakable long term bond. He placed stock in her, and treated time with her like cashing a check drawn against an account of future joy.
Regardless of whether his team was on defense, offense, special teams or the clock had stopped, he felt like she provided him with protection and safety.
She balanced him, and when he got out of balance, she re-balanced him.
"long term bond" ... that was my favorite.
MT, ever thought of just hanging up the whole lawyer thing, and doing some writing? I mean, besides PP books?
Q: “Do you have funny shaped balloons?”
A: “Not unless round is funny.”
A: “Not unless round is funny.”
Re: Finding a bottom
M.T. Just out of curiousity do you use your lawyering powers for good and not evil?
Re: Finding a bottom
Oh, and back to the thread....finding the bottom. Jim Rickards, whose opinion I value, is saying that right now Gold is below intrinsic value. Of course that doesn't mean that it can't fall any farther however he is saying that it is a bargain.