ForEx...Scam??

[CayoHueso]

You don't need to take any classes to buy gold. You can buy the indexing stock GLD (that is the symbol on the exchange). It mirrors the commodity price, but move the decimal point one over to the left. You just have to know basic market principles. I own quite a bit of gold when it was trading in the $500's. It is about three times that now. If you really want to double your investing efforts buy Gold Mining Companies as well. When Gold goes up, so does the company's stock that mines it.

I'd personally stay away from raw commodities unless you really know what you are doing or have money to easily lose.

[rgramjet]

Ok, next question. Where's gold gonna go?

[CayoHueso]

Ok, next question. Where's gold gonna go?

I'm thinking $2k an ounce

[WarrenJ]

This is where you get into the differences between technical and fundamental trading.  The fundamentals of a shaky world economy, etc  suggest gold will go up and the technical aspects of the movement of gold prices suggest it will go down.  If I had the staying power to keep laying put options out into the future, I think I would make money on gold going down, but a strong fundamental event could postpone that move for some time - hence - I'm leaving gold alone for a while.  As a technical trader, I look for markets that are in multi-year extremes high or low and then lay options out into the future to take advantage of the inevitable correction - the only issue is having enough staying power to wait out the move.

[zooom]

all of these transactions depend on 1 thing primarily though....selling....if you just buy and sit on it long term, it is kind of a moot point isn't it?

[WarrenJ]

If you are trading commodities or options, closing out your position is a necessity because the contracts or options you have expire at a certain point - so if you don't close out your position, they expire.  In the case of the gold stocks mentioned, if I understand it correctly, they function as a stock and do give you the option to hold. 

Buying gold at the top of its unprecedented rise is probably not the best move at this point.  The money has been made like our friend here that was wise enough to buy gold at 500 while there was no interest in it. 

[cokey]

Correct me please..  are their 2 types of way to buy gold.. in stock and physically having it?   Especially in a shtf scenario where buying bars can be handy..   any diff in price from stock n bars?  Where can one buy bars?    Gold jump from jan till now..  wish I had the head to think about savings when it was in the 500s

[WarrenJ]

IMHO in a shtf situation, silver might be a better option as the denominations are smaller and it would be better for trade for commonly needed items.  If all you have is an oz coin of gold and you are hungry, you aren't going to get much change.  Silver on the other hand, can get you commonly needed items closer to its real value.  Silver is trading at around $33/oz currently.  It was briefly at close to $50/oz.  I bought it when is was $7/oz when no one cared.  Once you hear about what a great deal an investment is on the news, the money has already been made - all that is left is the scraps.   Probably booze and cigarettes would be better currency in that situation.

In any urban area, there are any number of coin dealers, etc that buy and sell gold, silver and platinum.  Make sure you buy name brand items such as American gold or silver eagles, Engelhard silver, Canadian mapleleaves, older Krugerrands etc instead of some offbeat stuff that someone may suspect of not being real. 

[cokey]

Ah yes silver. I deff want some...  should bring a good magnet when buying silver I was told..

[CayoHueso]

As I mentioned above, moving the decimal one to the left will basically give you the price of GLD in stock verse hard commodity.

Gold Shares Trust (GLD) closed at $167.35 today.

Gold on the commodity exchange closed around $1,724.

I wouldn't recommend buying GLD or Gold right now considering it is VERY high; it wouldn't be a good investment right now.

Brian R.