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I've been saving money for silver for a while now. Looking to do a big buy around January. What do you do if silver goes up substantially to the point where buying isn't a great choice? I like to buy things, but I might just have to work up some self control. Do any of you buy anything when silver is to high?

Silver is always a great buy. If you think you can time it that's fine. But I set aside a regular amount and generally buy all the time. I do buy more especially when it's lower, but I was buying through the 30s, into the 40s. I even bought some in the upper 40s, as the market was looking like a crash at the time (and I believe that crash will come and silver will disappear with prices through the roof). There will be a time - not that far away - when we look back and only dream of $29 silver. Or $39 silver. Or $49 silver. Don't waste your money by paying stupid money, but don't kick yourself for buying when the price isn't the bottom, because you can't time the bottom.

If you've been saving up some money, why not buy some now and some in January? I would dispute with some others that silver is worth paying any price for, but 29 bucks an ounce is reasonable; you're not stealing it, but you're not paying too much either. I sold my entire stack at $48/oz and used the funds to build up my cash flow investments. I'm just now starting to rebuild my silver position a little at a time.

I'd have to agree with argent_pur on this one. Dollar-cost average your purchases. Buy $x every t.

So if you have 100 a month and you're saving for a year to get that 1200 you need for a couple tubes or big bars or whatever that's nice...but if you picked up 3-4 rounds a month over the 12 months you may end up with more weight than just buying one time in the future.

The price goes up is not bad as everything you already hold is gaining in nominal terms.

The price goes down is not bad as you're now able to acquire more weight on each purchase.

Looking at it in this way along with dicipline over the longer term you'll be stacking more weight at less cost.

Plus you can mix it up a bit and keep it interesting which is more fun than just buying a lump of metal to stick somewhere and never look at it again.

Why are you waiting until January?

Do you see a difference in now and then that makes silver cheaper then than it is now? I don't. Probably the opposite.

I'm not a fan of the so-called "dollar-cost averaging" but it does make sense to save in something "hard" rather than cash. Cash is great if you want to buy something within the next 90 days or less. Otherwise you should have only enough cash to pay your day to day bills and a small reserve.

Saving to buy an investment is the exact opposite of what you should do.

Investment IS SAVING

Saving "cash" is simply a bad idea. Every day your cash is worth a little bit less regardless of everything else that happens.

Investments (theoretically) go up over time.

Interesting older thread and great advice for the younger or new stackers.
Wanted to bring this back to life for more suggestions if someone wants to add more.

RD5 wrote:I've been saving money for silver for a while now. Looking to do a big buy around January. What do you do if silver goes up substantially to the point where buying isn't a great choice? I like to buy things, but I might just have to work up some self control. Do any of you buy anything when silver is to high?

I wait for silver to pull back when I buy any quantity of silver. Otherwise, I'll piecemeal a few troy ounces every now and then. I'll use Ebay to try and pick up some silver at spot, but that has a very low success rate as many bidders there basically go over spot, even on junk silver coins. I figure the times I want to splurge and buy a roll of silver eagles or generic rounds, I can just be patient and order half-dollar coins from the banks and do the coin roll searching and have a small fraction of the money go to gasoline costs perhaps vs. tying it all up in silver. Alternatively, I pick up boxes of pennies and sort them for the Cu bullion. I feel like I am least stashing away some bullion, and doing it at face value of the coins is a very nice incentive.

I want to buy some generic rounds as of late but the inner voice says to wait for a pullback. I guess it depends upon long-term expectations for silver. If you are in this for the long run, maybe just buy with your complete budget right now and then wait to see where prices go, all with the expectations that prices may slump a bit. No guarantees on silver going up and up in price, especially since it seems too much like a sure thing based upon how much hype that precious metals get.

argent_pur wrote:I sold my entire stack at $48/oz and used the funds to build up my cash flow investments. I'm just now starting to rebuild my silver position a little at a time.

It was mentioned above about "dollar cost averaging" and that is probably the most common strategy amongst long time investors (PM, stocks, bonds etc...). I have been diligently searching for the past two years for the best AG/AU deals and have concluded that you can come close, if not right at spot, with private deals. Private deals don't occur with APMEX or Gainsville or your LCS. Whereto find them? Right here, or at BS. We all know the spot price and we aren't trying to fool anyone, so buyers and sellers can in fact come together on a fair deal. Everyone wins. I buy regardless of spot and over time it all seems to work out.

Best of luck, but in the big scheme of things, January is no different than December or August. Cheers!

JerrySpringer wrote:

RD5 wrote:I've been saving money for silver for a while now. Looking to do a big buy around January. What do you do if silver goes up substantially to the point where buying isn't a great choice? I like to buy things, but I might just have to work up some self control. Do any of you buy anything when silver is to high?

I wait for silver to pull back when I buy any quantity of silver. Otherwise, I'll piecemeal a few troy ounces every now and then. I'll use Ebay to try and pick up some silver at spot, but that has a very low success rate as many bidders there basically go over spot, even on junk silver coins. I figure the times I want to splurge and buy a roll of silver eagles or generic rounds, I can just be patient and order half-dollar coins from the banks and do the coin roll searching and have a small fraction of the money go to gasoline costs perhaps vs. tying it all up in silver. Alternatively, I pick up boxes of pennies and sort them for the Cu bullion. I feel like I am least stashing away some bullion, and doing it at face value of the coins is a very nice incentive.

I want to buy some generic rounds as of late but the inner voice says to wait for a pullback. I guess it depends upon long-term expectations for silver. If you are in this for the long run, maybe just buy with your complete budget right now and then wait to see where prices go, all with the expectations that prices may slump a bit. No guarantees on silver going up and up in price, especially since it seems too much like a sure thing based upon how much hype that precious metals get.