On this site, we talk about TheMoneychanger being a good place to buy gold and silver.
He did a quick write-up today on how to play silver against gold and vice-versa, and why you might want to do so.
For your benefit, we have re-posted it here verbatim.
Also, if you’re interested in looking at the gold/silver ratio, take a look here.
Y’all pay attention now: this won’t be elegant, but it will be fast.
Bunch of y’all email me Friday questioning me why swap silver for gold now? Go to www.the-moneychanger.com & read article linked to homepage, “Why Silver Will Outperform Gold 400%.” Here’s further explanation. Pay close attention, test on Tuesday:
With gold/silver at 70:1, you buy 70 oz. of silver. Wise choice.
When ratio hits 35:1, you swap 70 oz. of silver for TWO, not one, ounces of gold. Twice as many as if you’d bought gold in first place.
No market, internet blowhards notwithstanding, shoots straight to the moon. The ratio will see 47 or 50 before it sees 16, although it will EVENTUALLY drop below 16.
Ratio will, internet blowhards notwithstanding, correct. Will correct AT LEAST to where it fell out of long triangle at 47.5, maybe 50% of total fall from 84.3 to 35, so back to 59.65.
When ratio reaches 47.5, you swap your two oz. of gold for 95 oz. of silver. You now have 25 more oz (35.7%) than if you had just lain around in silver the whole time.
Then you do it again when the ratio falls again.
