SILVER

[alexreeve]

From CID website:

½ Oz Britannia

 

In addition another new release is imminent. The British Royal Mint, publisher of the “Silver Britannia” (1 Oz) has decided, due to the market situation and the associated high silver prices, to produce a ½ Oz “Silver Britannia”.

 

Also this coin is introduced as legal tender in the UK with a nominal value of one GBP.

 

There is a limited edition of only 50,000 units planned. A rapid sale of this small quantity is expected.

Moreover, the British Royal Mint reports that even the complete annual volume is sold out.

 

 

Facts about Coin ½ Oz “Silver Britannia “

 

Face Value: 1 British pound (GBP)

Diameter: 27mm

Silver fineness: 958/1000)

Quality: Bullion

Weight: 16.22 grams

Availability: In early May

[rpitwood]

We've got a new all time high in Silver in GBP today. Over the previous £21.65 as I type.

[Pixel8r]

We've got a new all time high in Silver in GBP today. Over the previous £21.65 as I type.

Is that how high it was in the 80's when silver went to $50?

[rpitwood]

Is that how high it was in the 80's when silver went to $50?

 

Yep - see Goldfinger's chart about a page ago. At about $2.40 to the £

[G0ldfinger]

Squeeeze.

[emel]

I think that makes the G/S ratio 40.2.

 

Switching 10% of my silver to gold. Next stop 39?

 

P.S. Another thanks for the graphs.

 

[Eiji]

Jeez, I wouldn't mind a pullback into the $26-28 range so I can back up the truck some more :/

[Errol]

Could certainly use lower gold and silver prices here. It's all getting so darn expensive!

[Errol]

[Eiji]

Could certainly use lower gold and silver prices here. It's all getting so darn expensive!

 

Yes, madness, hope it doesn't go parabolic just yet. I purchased loads last year and then in Jan 2011 but now I got some more fiat to pump into silver but not at these prices

[Pixel8r]

Yes, madness, hope it doesn't go parabolic just yet. I purchased loads last year and then in Jan 2011 but now I got some more fiat to pump into silver but not at these prices

I have been putting money into the mining shares via an ISA, some of the shares are still cheap.

[G0ldfinger]

Hmm, I am pondering the idea that this is a big one. Someone made an effort to run the weekly close over $35. A hedgefund must be braindead if they haven't realized yet what's going on in silver -- I mean, just momentum-wise. So, how many more will jump on the bandwaggon next week?

 

From historical experience, I am inclined to think that we'll stop here at 35:1. But there is no script written for this. What if someone at a large producer or at the JPMorgue panics? We could see 20:1 in no time, even 14:1.

 

I definitely think we're going to see 20:1 over the next few years. But what if it is NOW, what if it comes earlier than expected? What if we saw a run-up first to 20:1, and then a year or two later to 10:1?

 

I am not going to swap or sell any before 35:1. But right now I wonder if I should hold on to it anyway, rather than trying to outsmart the ratio.

 

I might swap 1/3 at 35:1, another 1/3 at 20:1, and the rest beyond 14:1.

 

http://gold.approximity.com/since1968/Gold-Silver-Ratio.html

 

 

[marceau]

I have been putting money into the mining shares via an ISA, some of the shares are still cheap.

 

 

Same here. The miners are going to be the last train to leave the station and accordingly many are still way below their 2008 highs.

 

Still numerous 10+ baggers to be had. As an added bonus for those in the UK, most stock on the Canadian exchanges can be put into ISA wrappers, CGT-free!

[andrew]

GF

 

The Gold/Silver ratio looks tempting to play, but as both are in massive bull markets I think I'll just sit tight with both rather than risk ending up with less of both.

 

I would not greatly be supprised to see 60:1 again as the next move in this ratio, but who knows.

[G0ldfinger]

The Gold/Silver ratio looks tempting to play, but as both are in massive bull markets I think I'll just sit tight with both rather than risk ending up with less of both.

Well, you need an exit strategy. Mine is to swap silver for gold at ratios smaller than 35:1, and I intend to do that in steps (while getting out of gold I make dependent on my other measures that don't include silver).

 

The question I am asking myself right now is how much we could overshoot what has happened historically. Historically, I'd say, start winding down from 35:1 on and get out entirely by 15:1.

 

BUT Dave Morgan has just reminded me (this week's FSN silver round table) that we have now 4-times LESS silver above ground than in 1980, and put on top of this the new markets e.g. in China. I think Morgan thinks we could se 10:1 (he said so on FSN a couple of weeks ago), and in fact I think so too. So, maybe the whole 35:1 level is a joke, and averageing out I shouldn't consider before we're talking 20:1 anyway. The Hunts of course skewed the picture in 1980, but that ratio had been reached before (see charts above), and this time we have the JPMorgue fudging up the market so badly that it could explode again.

 

Anyway, I guess 35:1 will pass and I'll continue to hold on. This is my own money, so I'll take the risk. For a fund, I would possibly try to stick more to the history and start slowly averaging out and try to be out by 15:1 latest.

[Perishabull]

 

I think silver is going to continue to outperform gold. When the sushi really hits the fan, and the masses swarm to the haven of precious metals, a large proportion will find the cost of gold is out of their reach, this will lead to a frenzy to buy any available silver. This is the factor that I think will accelerate the gold/silver ratio back towards the longer term historic ratio of 16:1.

 

 

[malvern hills]

Same here. The miners are going to be the last train to leave the station and accordingly many are still way below their 2008 highs.

 

Still numerous 10+ baggers to be had. As an added bonus for those in the UK, most stock on the Canadian exchanges can be put into ISA wrappers, CGT-free!

 

Any particulars of companies would be gratefully received

[JIMBOWEN27]

I have been putting money into the mining shares via an ISA, some of the shares are still cheap.

 

Pixel,

 

Which silver stocks do you hold and any new ones that you're looking at adding?

 

Thanks

Jim

[andrew]

Well, you need an exit strategy. Mine is to swap silver for gold at ratios smaller than 35:1, and I intend to do that in steps (while getting out of gold I make dependent on my other measures that don't include silver).

 

The question I am asking myself right now is how much we could overshoot what has happened historically. Historically, I'd say, start winding down from 35:1 on and get out entirely by 15:1.

 

BUT Dave Morgan has just reminded me (this week's FSN silver round table) that we have now 4-times LESS silver above ground than in 1980, and put on top of this the new markets e.g. in China. I think Morgan thinks we could se 10:1 (he said so on FSN a couple of weeks ago), and in fact I think so too. So, maybe the whole 35:1 level is a joke, and averageing out I shouldn't consider before we're talking 20:1 anyway. The Hunts of course skewed the picture in 1980, but that ratio had been reached before (see charts above), and this time we have the JPMorgue fudging up the market so badly that it could explode again.

 

Anyway, I guess 35:1 will pass and I'll continue to hold on. This is my own money, so I'll take the risk. For a fund, I would possibly try to stick more to the history and start slowly averaging out and try to be out by 15:1 latest.

 

I feel sure that silver will out perform gold before this bull market is over, but it may well be a much more volitile ride. So I hold more gold in £ terms than silver, if I was in 100% silver I don't know if I'm strong enough to sit through 50% type fall without panicing.

 

As for an exit strategy, I remember reading your 'When to sell thread' on GIM great stuff, but I would add a public mania to the list. When you see people lining up in the streets outside dealers to sell bits of silver like grandma's old silver tea pot and flatwear from her estate, and at the same time other people 'panic' buying because they are afraid to miss the boat on this 'can't loose' investment, it may well be time to sell half my holdings.

 

If a mania ( people running only on emotion without any thought ) does take place 10:1 or better is easy to imagine.............

[Errol]

Longer term, silver is going to hundreds of dollars an ounce. Just buy physical and hold it. Max Keiser is talking about $500 an ounce.

[warpig]

Here's something for you to think about, will we see a gold:silver ratio of 1:1^X? Adrian Douglas thinks silver will trade in excess of gold and if the laws of supply and demand are anything to adhere to, then he might just be right. I'm not playing the gold:silver ratio, I personally think this time it's different, because there isn't enough silver... I think the world is going to be shocked by the future price of silver.

 

From:

[Eiji]

Any guesses as to what silver price per ounce may be by mid 2013?

[jerpy]

Peter Schiff's latest musing on Silver outweighing Gold

 

http://www.safehaven.com/article/20149/silver-outweighs-gold

[Pixel8r]

Pixel,

 

Which silver stocks do you hold and any new ones that you're looking at adding?

 

Thanks

Jim

The Silver stocks that I am going to be adding to is Silver Wheaton (SLW) & Silvercrest Mining (SVL), SLW have just instated their inaugural dividend, which I think bodes well for future share price action and I like their setup as I think inflation is the outcome and they have major inflation protection built into their production. I sold some Silvercrest recently as they where in a dealing account & I am going to re-buy them my ISA. I have recentlly switched my ISA from selftrade to TDW and have found out that some Toronto Venture exchange stocks can be held in an ISA with them, but couldn't be with selftrade.

 

I also already hold Great Panther Silver (GPR), Silvercorp Metals (SVM) & Hochschild (HOC) but don't think I will be adding to any of those as I already have big enough positions. I have made some major gains on these already since I bought most of them in Jan '09, but I don't think I will be tempted to take any profits as I believe in the long term price escalation of their product.

 

In gold I am also thinking of adding to New Dawn Mining (ND), Gammon Gold (GAM) & starting a new position in Gold Wheaton. The other gold stocks that I hold are Endeavour Mining (EDV), China Gold Int. Res. (CGG) & Alamos Gold (AGI).

 

I tend to start a position in a new stock small and build it over time as I find out more about the company, buying more on pullbacks.

[Jake]

Any guesses as to what silver price per ounce may be by mid 2013?

Well it was under 6 dollars/oz for much of 2004. 35 today and we are clearly in phase 2 of this run. Still a long way to record highs of 50 dollars. 2013? North of 100?