By: John Fisher
It is easy to lose sight of what motivated us to get into the precious metals market in the first place. Each and every day we are bombarded by newspapers, newsletters, magazines, television, the internet, co-workers, friends, family and a myriad of others – all with opinions. And they are just that – opinions.
One day it’s a bubble and the next it’s a boom. No one was an expert at $300 gold or $5 silver, but now everybody deems themselves an authority. And, frankly, most of these so-called authorities don’t own an ounce of gold or silver, with the possible exception of paper proxies.
Now some opinions are arguably more informed than others. In fact, some closely mirror our own beliefs. But, in the end, they are all opinions.
So what is a person to do? Ultimately, you have to decide. And ultimately, it’s not that difficult. Ask yourself these two questions; first, “why did I initially enter the market?” and second, “have circumstances changed such that my initial decision is no longer a good investment?”
Take a piece of paper. Write down 4 to 6 responses to the first question. Then, ask the second question of each of those 4 to 6 responses. If your reasoning has changed, then you may want to consider exiting. For most of us, the reasoning has not changed. Remember, it’s called a “bull market” because the bull does everything he can to throw you off. Your only job is to hold on – until you hear the sound of the buzzer. More on that later.
All Things Considered – John’s Commentary:
Action to take: If you haven’t already done so, consider swapping some of your silver for gold. The Gold:Silver ratio is at an extremely attractive level to do a swap. In the end, we intend to have more ounces of metal with no additional cash outlay.
What to buy: There is a fire sale on fractional foreign gold and junk silver.
Quote of the day: “Place 5 percent to 10 percent of your total assets in gold bullion and selected gold and silver coins. No one knows with certainty whether the coming depression will be inflationary or deflationary.” – James Dale Davidson
