Best Month Of The Year To Buy Gold
If you missed buying gold in January, when is the next best time to buy?
We broke the historical data down into months, and heres what it shows.
Since 1975, the gold price has tended to drop the most in March. The daily chart above shows April might offer a slightly lower overall price, but history shows March is the month gold falls the most and is thus one of the best times to buy.This trend does not apply to silver.
While the silver price is typically flat in March, the best month to buy is June, followed by October. The wisdom of buying in June is further supported by the daily chart above.
Which Precious Metal To Buy In 2021 Platinum
We will not focus on all precious metals charts in this section. We only look at the long term platinum chart.
And what a chart it is. Absolutely gorgeous.
Platinum is on the rise, and it is trying to break above 4 year highs now. This is attempt #4 to break out to a new bull market.
We believe it is a matter of time until platinum breaks out. And presumably early 2021 we will see the breakout confirmation.
This chart clearly suggests that the upside potential in platinum in 2021 is some 40 to 50%. We would not be surprised to see platinum peak around 1500 USD / oz somewhere in 2021.
And, as always, its all about timing.
In our Momentum Investing portfolio we focus on global markets, and pay special attention to precious metals markets. Most of our gold and silver mining positions in 2020 delivered great profits, and helped our portfolio double in 2020. We expect a longer term position in a platinum mining stock in 2021. And, yes, we already identified our top platinum mining pick, we just eagerly wait for the right moment to flash a buy alert.
Kitco’s Price Of Gold
Kitco is a leading gold and precious metals buyer and seller, as well as creator of precious metals commodities news. The Kitco Gold Index is a popular measure of real-time gold pricing today. Unlike the stock market, which is a dynamic marketplace, daily gold prices are set by independently owned markets. Kitco is one of these markets.
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How To Sell Gold Bullion Online
Gold bullion, by definition, is pure gold for the purpose of investment. Bullion can be in bars or coins, or occasionally other forms like an ingot. Gold coin bullion can be sold the same as other scrap gold, including on reputable online sites.
A bar is better sold to a mint or local dealer.
A bar of gold bullion can be sold locally to a mint or local buyer.
If you have gold coin bullion, CashforGoldUSA.com is an excellent choice for selling all gold online. Their online gold calculator on their homepage accurately helps you estimate how much you will get for your coin, and easy steps for sending in your item, securely, for quick payment of cash.
Should I Sell My House Now Or Wait It Out
If youâre still on the fence about selling, we get it. Itâs a huge decision that deserves all your careful consideration weighing up the advantages and disadvantages for either scenario.
Even if the market feels a bit uncertain, itâs important to remember that itâs all relative and the market doesnât stop. There will always be properties being listed and buyers out there wanting to purchase a home.
While many markets are booming, you need to remember that conditions will vary from suburb to suburb. So itâs important to understand your own local market – and to do that, you really need to get granular.
Whether your property is impacted by price gains or falls depends on many factors including location, property type, and whether your home falls into the higher or lower end of the market.
If youâre seriously considering selling your home, you need to do your research. As a first step, get a ball-park estimate of what your home might be worth by using a free online estimation tool.
How are recent sales impacting the price of your property?
Compare recent sales to find out what your home is worth
Next, contact top local agents to get more of an understanding of whatâs actually happening in your area, rather than absorbing the catch-all headlines that dominate the news cycle.
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Go For Gold Not For Broke
No matter your view of whether the price of gold is a good bet, it makes sense to subject investment decisions in gold stocks or an ETF tracking gold or gold stocks to the same rigorous process as regular stock buys. That means waiting for a proper buy point and a buy signal.
The charts of gold stocks like NEM and GDX no longer look constructive. While FNV, IBD’s top-rated gold stock, looks more solid, all gold stocks are pretty closely tied to the fortunes of GLD, which has fallen well below its 200-day moving average. Prospects look somewhat brighter for the iShares Silver Trust ETF that tracks the silver price. SLV has bounced above its 200-day line and is about 6% below its recent buy point. Silver has both precious metal and industrial metal characteristics.
To find the;best stocks to buy or watch, check out IBD Stock Lists and other IBD content.
Please follow Jed Graham on Twitter for coverage of economic policy and financial markets.
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Are Precious Metals A Hedge Against Monetary Policies
Before digging into the detail we wanted to point out that one of our followers on Quora requested us to answer his question.;This user looked at precious metals as a hedge against monetary policies of central bankers. The never-ending depreciation of currencies is indeed a big concern. We also believe it is worth reviewing our viewpoint on this which really differs from the short term trading/investing decision we want to cover in this article.
This is our answer published on Quora yesterday:
Yes, commodities like gold, silver, platinum may be denominated in a currency, mostly in dollar terms so there is always this fiat currency hedge investing thesis. But lets face it during the 2008 crisis the only two assets that went up were the U.S. Dollar and Treasuries. So the precious metals thesis as a hedge against fiat currency does not always apply.
Note that this is the long term viewpoint, and yes we challenge the idea of precious metals being a hedge against monetary policies. Between 2011 and 2019 your precious metals investment would have destroyed your wealth, while picking a few other investments and getting in / out would have helped you create much more wealth.
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Pawn Shops Near You That Buy Gold
Many pawn shops purchase gold jewelry, coins and bullion. Selling locally to a pawn shop is an easy way to sell your gold for cash quickly. However, youll almost always get a lower price than you would by selling to a reputable online gold buyer.;
As weve explained in more detail in our guide to selling gold jewelry to a pawn shop, pawn shops usually offer significantly lower prices for jewelry than online buyers. In every secret shopping we tried, Abe Mor offered at least 10% more than the local pawn shop. Often much more.
The reason for this is that pawn shops make the majority of their revenue by loaning money to their customers. In order to get a good return on investment by buying gold, the pawn shop will need to buy it for a low enough price to be able to sell it with a reasonable profit margin.;
There are also several other disadvantages to selling at a pawn shop, from employees that may not know much about gold to the occasional high-pressure sales process. Weve listed these a little further down the page.
Advantages of selling gold to a pawn shop include:
- Instant payment. When you sell gold jewelry, coins or other gold items at a pawn shop, youll usually be paid right away. This can be a huge advantage if you need to get cash right now and cant afford to wait for several days.
Disadvantages of selling gold to a pawn shop include:
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Commodity Prices Less Than Zero
We wrote about negative crude oil prices recently. Now, we have read that, due to closures at meat packing plants, companies like Tyson are slowing or stopping their buying. Farmers may be forced to destroy their animals.
Think about that. Alive, an animal incurs costs due to feed and labor. With no buyer, it is better to kill the mature animals than to keep them alive. If there were a market to express prices, the price of such animals would be below zero.
The virus lockdown may not have provided the magic to make pigs fly. But it can cause something unprecedented: commodity prices below zero
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Cash Is Probably Safer
At the end of the day, cash is likely the safest of the safe-haven assets you can own. If you are worried about the stock market, it’s probably better to stash some more money in cash than it is to buy gold after an already swift and material price advance. Cash won’t do much for you in today’s low interest rate environment, and inflation will eat away at its value over time, but it will keep you from losing money if the stock market falls sharply. And if a bear market does show up, you can put your cash cushion to work.
As a compromise, you might consider using the money you would have put into gold to augment your cash position. That will provide extra safety now, and when gold prices have pulled back from their rapid ascent you can reconsider adding some precious metals exposure without the risk of getting caught up in the current gold hype.;
The Best Places To Sell Gold For Cash
Working out where to sell gold can be confusing. Like with many things in life, the most visible and heavily advertised options particularly local gold buying kiosks arent always the best place to sell if youre looking to get a fair deal.
There are three main places to sell gold reputable online gold buyers, bullion pawn shops and local jewelers. We generally recommend selling online if youre looking for the highest possible price for your gold, although each option offers its own range of advantages and disadvantages.
Below, weve gone into more detail about how each of these options works, as well as the main pros and cons offered by each one. Click any of the links below to jump straight to that section:
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Gold Tends To Do Well In Times Of Trouble
Gold tends to do well in times of trouble. Well, thanks to the coronavirus pandemic putting the global economy on lockdown, investors had trouble in spades in 2020, and that was evident in a nearly 25% return for the yellow metal last year.
However,;gold prices have had a more difficult time in 2021, off about 8% year-to-date. But despite what should be a much better year for the economy than last, some investors still might be tempted to buy gold on this dip.;After all, even after coming under pressure from higher interest rates and outflows from gold exchange-traded funds , analysts think the outlook for the shiny metal remains bright this year.;
Indeed, 38 analysts;surveyed by the;London Bullion Market Association forecast gold prices to average;$1,974 an ounce in 2021. That’s about;13% higher than current prices, and would represent a return to levels not seen since August 2020.
Just understand: Pouring a chunk of your assets into gold isn’t always a good idea. In fact, gold actually has a spotty long-term record as an investment.
Here are some critical nuggets you should know about investing in gold before betting on the precious metal.
Since 1990 Which Investment Performed Best
Once again, U.S. stocks beat both U.S. bonds and gold.
From March 1990 through March 2021, the S&P 500;gained 10.4% on an annualized basis with dividends reinvested. The 10-year Treasury note;delivered an annualized return of 4.6%. Gold, meanwhile, generated an annualized return of;5.2%. Interestingly, gold is supposed to be bulwark against rising prices, but when adjusted for inflation, the commodity performed even worse.;
Adjusted for inflation, the S&P 500;returned an annualized 7.9% from March 1990 through March 2021, including dividends. The 10-year Treasury;generated an annualized return of 2.2%. Gold adjusted for inflation;delivered only 2.7% annualized.
Note that the price of gold actually dropped about 27% between 1989 and 1999. Gold often loses value in prosperous times, as the 1990s generally were.
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How To Sell Gold
Depending on where you sell gold, the process varies.;Here are posts with more detailing on various options you could consider:
If you want to get the most cash for gold, heres the gist of how to sell gold online:
CashforGoldUSA pays a 10% bonus if you send your item in within 7 days of the request, and sends payment within 24 hours.
Where Is Raw Gold Found
Gold can be found all over the world. China, Australia, Russia, the United States, Canada, and South Africa are commonly mentioned as top gold-producing countries.;
Within the United States, gold has been found across the country. While California is famous for the Gold Rush of 1848, today Nevada and Alaska account for much of the gold produced in the United States.;
Raw gold is commonly found in placer deposits along riverbeds and streams. Gold can also be found encased in hard rock, and is often found in Quartz veins.
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The Great Upcoming Wealth Transfer
Kraken Intelligence, the in-house research team at the crypto exchange of the same name, released a new;report;entitled Inheriting USDs & Acquiring BTCs: How The Great Wealth Transfer Will Fuel The Great Bitcoin Adoption.
According to the report, if American Millennials were to invest at least five percent of their inherited wealth into Bitcoin , they could drive the price up to $350,000 in 2044. This would effectively give the generational group almost $70 trillion of value from a $971 billion investment.
2/ Assuming a 5% investment allocation and a 2% inheritance tax, by 2044 Gen X and Millennials could invest an estimated $971 billion into #Bitcoin as they inherit wealth.
World investment could make this figure much higher.
With many older Americans on the verge of retirement, the report suggests those in younger generations who are not only more familiar with but more accepting of Bitcoin will have more options investing in the future.
a disproportionate percentage of the Millennials and Gen X will continue to be the driving force of adoption for the foreseeable future. While this can be explained in part by the fact that both generations harness a greater technological competence than their elders, we should also consider that bitcoins current volatility is unsuitable for individuals nearing or in retirement.
How To Buy Gold Stocks Mutual Funds And Etfs
Investing in a gold stock, ETF or mutual fund is often the best way to get exposure to gold in your portfolio.
In order to buy a gold stock or fund, youll need a brokerage account, which you can open with an online broker . Once your account is funded, youll be able to pick the gold-related assets youd like to invest in and place an order for them on your brokers website.
Keep in mind that individual stocks and ETFs are purchased for their share price ;which can range from $10 or less to four figures ;but mutual funds have a minimum investment requirement, often of $1,000 or more. Learn more about how to invest in stocks and how to invest in mutual funds.
» Need guidance? Check out our full roundup of the best brokerages
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As Worries About Covid
With gold down 11% since the August peak through mid-December, its time to wonder whether this is the pause ahead of more gains or the end of the phenomenal bull run.
My take: Its the latter and you should avoid goldGLD GC00. The yellow metal had its heyday in 2020 as a fear factor trade on deep worries about COVID-19 and a crumbling economy.
Is Rose Gold Worth Anything
Rose gold is an alloy of gold and another metal, most commonly copper, which gives it its unique coloring. Sometimes rose gold will also contain a small percentage of silver in addition to copper.;
With this in mind, rose gold is worth as much as however much gold it contains. 18K rose gold and 14k rose gold have the same gold content as 18k gold and 14k gold, respectively.;
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