Buying oppurtunities for stocks, shares and commodities

[Munkey]

There has been some discussion on these forums about the current financial crisis but I'd like to start a new thread on buying opportunities in the current turmoil. These opportunities come around after every stock market collapse so sometimes we have to wait decades for them.

I'll kick it off by discussing silver. I have never invested in silver but it does seem like a good opportunity as the price if silver is very low right now. Traditionally speaking silver has always been golds little bitch, climbing when it climbs and falling when it does. Recently that trend changed with the gap between gold and silver getting wider. Silver seems to be really suffering right now, it's price is around the $10 mark when traditionally speaking it has been in the mid to high teens.

Does anyone think it is a gamble worth taking? There could be some very nice gains if gold goes up in the next month.

 

[stevemac40]

It could be. I don't know those markets well enough.

What I would warn is not to focus overly on correlations (unless you think there may be opportunities to be made by others focusing too strongly on correlations), focus on the underlying reasons for price movements. As I said I don't know those markets well enough.

 

[K]

It could be. I don't know those markets well enough.

What I would warn is not to focus overly on correlations (unless you think there may be opportunities to be made by others focusing too strongly on correlations), focus on the underlying reasons for price movements. As I said I don't know those markets well enough.

id love to get into shares/stocks.. dont have a clue where to start lol..

 

[Exclusive]

am learning now

but need more info, ive opened a share dealing account with natwest but still not 100% sure to do lol

 

[MH]

I bought some shares recently but I have given up now as mine went bump today!

 

[stevemac40]

I've mentioned it before.

You don't need to physically buy the shares just spreadbet on them at IGIndex. You can jump in and out of the shares on a minute by minute basis with very very low transaction costs. You can also put on stop losses which limit your exposure.

 

[Munkey]

id love to get into shares/stocks.. dont have a clue where to start lol..

Sign up here for a start. That way you will be ready to buy should the price be right.

Hoodless Brennan plc - Stockbrokers & Corporate Finance

It could be. I don't know those markets well enough.

What I would warn is not to focus overly on correlations (unless you think there may be opportunities to be made by others focusing too strongly on correlations), focus on the underlying reasons for price movements. As I said I don't know those markets well enough.

I've never physically bought silver mate, instead I've just followed it's ups and downs over the past five or six years. One thing for sure is that it lives in gold's shadow. Generally speaking over the past five odd years it has tracked golds ups and down fairly accurately. My theory on silver lagging far behind this past month is due to the massive deleveraging going on in the US$ market which has to end at some time in the next few months.

Aside from my BS theory I am betting on the correlation rather than fundamentals as you mention which could be risky.

I bought some shares recently but I have given up now as mine went bump today!

Hopefully the rally will last into Christmas which it usually does.

 

[Penners]

You could look at the banking sector shares, thats where I'm investing at the moment, hbos for instance have been as low at 60p. They will however turn into .6 of a lloyds share at which point they should start to rise further. Remember HBOS has been at £11 per share although it will be a long time before they get to that, I wouldn't be surprised to see these shares at at least £5 in a couple of years time once they emerge as a so called "super bank"

Just my 2 pence worth

 

[Munkey]

You could look at the banking sector shares, thats where I'm investing at the moment, hbos for instance have been as low at 60p. They will however turn into .6 of a lloyds share at which point they should start to rise further. Remember HBOS has been at £11 per share although it will be a long time before they get to that, I wouldn't be surprised to see these shares at at least £5 in a couple of years time once they emerge as a so called "super bank"

Just my 2 pence worth

Anglo Irish Bank @ .79 cents seems nice. I think that is what the original shares were issued at so that means either
1) They'll be out of business very soon
2) Possible merger with another Irish bank
3) Stock will go up.

Anglo have heavy exposure to the Irish housing market so this could be their Achilles heel and ultimately lead to their going under but they do have a very healthy balance sheet with good growth.

Buy today and sell Wed afternoon if you dare.

 

[ms2005]

6 months ago the City was buying stocks and stocks of silver, it is officially the rarest metal and will run out long before gold and as such, as a long term investment it's probably pretty sound, but it did not survive the credit crunch.

Like any good asset silver WILL recover and will probably exceed the levels it was trading at (record highs) of the last year.

As such, if you can get silver at a decent price (I suspect you will need a broker who will either want a hefty fee of a % of re-sale) and you're prepared to sit it out for a few years then it's def worth it.

I've a few friends who are traders in the City and say silver is a safe bet but apparently if you want a real winner, recession proof investment you should look into vintage wine, although you will need to fork out a monthly fee for a specialst wine storage company, that is unless you have an optimised wine cellar

 

[ms2005]

id love to get into shares/stocks.. dont have a clue where to start lol..

If you're serious about it then you should check out some brooker websites, a lot have a free system where you can trade stock and shares based on real market value but using imaginery money, obviously you're gains will only be fictional but you're losses will be too so it will let you get a feel of how it works and how well you pick stock.

If you then deceide to go into it you can then use the real software (which is identical) and buy and sell real stock and shares from your PC. Obviously it all runs through a brooker who takes a % but it's by far the easiest way

www.share.com is a good one

 

[Munkey]

6 months ago the City was buying stocks and stocks of silver, it is officially the rarest metal and will run out long before gold and as such, as a long term investment it's probably pretty sound, but it did not survive the credit crunch.

Like any good asset silver WILL recover and will probably exceed the levels it was trading at (record highs) of the last year.

As such, if you can get silver at a decent price (I suspect you will need a broker who will either want a hefty fee of a % of re-sale) and you're prepared to sit it out for a few years then it's def worth it.

I've a few friends who are traders in the City and say silver is a safe bet but apparently if you want a real winner, recession proof investment you should look into vintage wine, although you will need to fork out a monthly fee for a specialst wine storage company, that is unless you have an optimised wine cellar

I haven't been able to buy a single bar of silver in London since my original post. Boy it is rarer than gold dust LOL.

Nice little spike down for those that may want to invest in gold. Comex contracts are due in December so it could be a record month. Either way gold has to beat $840 (last years end price) in order to stay in a bull market.

For 1st time investors check out 1/10th Oz krugerrands on ebay. You should be able to pick one up for £50-£60

 

[fes_786]

u can get it from ebay:

10 X 10Oz 100Oz .999 FINE SILVER BULLION BARS 3.11 KILO on eBay, also, Silver Bullion, Bullion Bars, Coins (end time 02-Dec-08 18:58:31 GMT)

but is it 100% real??

 

[Munkey]

Thanks Fes, I don't usually buy metals off the bay the the seller seems to have good feedback.

 

[Munkey]

If anyone did buy those shares mentioned in post #9 they are up around 12%. Conservative speculators should bail out now.

 

[english]

if you want to invest buy gold its worth more than an email and some paper.

 

[Munkey]

if you want to invest buy gold its worth more than an email and some paper.

Agreed but with the pathetic £ vs the $ the premium is extortionately high.

What's your prediction for gold next year?

 

[Munkey]

I'm thinking on pulling the trigger on an Inverse ETF in Oil. This is purely a bet that oil will fall in the short term even further. Does anyone else see oil at $25/barrel in a few months time or less?

 

[jaffa]

I'm thinking on pulling the trigger on an Inverse ETF in Oil. This is purely a bet that oil will fall in the short term even further. Does anyone else see oil at $25/barrel in a few months time or less?

I think it may depend on the strength or weakness of the $. Opec are trying their best to stabilise it and if Russia thinks alike then it will stabilise, I reckon Russia will think along the same lines as Opec because they are losing big time out of it. Its a volatile market when oil is on a see saw.

If you remember not that long ago we were thinking it would stabilise at $75.

 

[Munkey]

I think its only a question of time before the $ starts to fall with all the printed money entering the system. Sooner or later we will have inflation and maybe even hyperinflation. This

Right now it feels like a 'every man for himself' type of situation with the oil producing countries so there will be no strength in a split oil community.

Generally you can use the Baltic Dry Index as an indicator for the state of the worlds financial markets as it quotes the amount of physical goods moving around the world over sea. It generally precedes and movement in the markets by a few months and right now it is on a downward spiral. To me it is screaming that things have still to get much worse in the next few months at least.