Loading ...PMs aren’t for Everyone !
PMs are NOT for everybody Silverboom
Especially the PM Miners.
YOU will NEVER…EVER sell at the top of a move in PMs…they are seductive…they are addictive …they are a tease
Personally …I believe this is a Baby Bull…I believe this is just the start….it was a fast and furious start
Now we get a 15% correction…maybe it will go to 20% or god forbid 50%…then we have a higher low.
It was never going to be to the moon non stop
So far we have had a 135% Gain in PM Majors in a couple months and now a 15% drop.
THEY…the machine programmers….KNOW you / us….they know they can shake you / we out
We are conditioned now…like Pavlogs dogs
They have us right where they want us…they want us OUT and Chasing by tomorrow…for sure they are going to
whack us some more…..
Too many here have been bragging about getting in early and having fantastic gains
Me …I have been a lead dog bragger
For my cautious side however I have been selling 10% every week as the beat goes on…locked in some good profits
This strategy works for me….everybody has to devise their own plan .
Some will just be content to ride out the inevitable 20%-40% drawdowns
Some will Sell on a hint of trouble
Some will skim some profits along the way….
Some will keep adding on dips…and accumulate all the way UP
Some will hedge with NUGT and the likes and curse every time the hedge goes against them
Some will hedge and not mind if they lose the insurance premium
Some will never get in as they wait for a big correction and when it comes…everything seems black and Bearish and they cannot pull the trigger…only to get left behind again.
Some will commit financial suicide and trade the 3Xers from both sides .
Some will commit physical suicide .
You want to trade PMs to get rich ? Its Doable but Its Tough man…the toughest trade on the Planet
Get a comfortable position as a core and hold it…skim profits on the way up but keep the core.
That works for me….to each his own
IF you sell…I hope you bank the profits and don’t trade those gains….Buy a yacht …then put the core $s to work again.
PMs are NOT for everyone
But they are for me.
My Name is Fully and I am a Mineaholoic
Excellent Sir Fully, excellent.
Best of luck to us both.
We deserve it.
And to everyone else.
Cedarwood
Well said…. So I bought MUX at 1.25 and the last few days it went from 2.78 to 2.28… what’s the big deal. I am not slitting my wrists
I always did sell at least half my positions after a pop or a strong 2 or 3 day run and rotate the money into something that hadnt run yet. I just cant sit and wait for something to keep going up week after week. But theyre done rising for now, clearly. I guess I’ll hedge but usually when I do that its the bottom and I lock in losses. If they crater, I’ll probably trim some dogs that never did take off. Luckily plenty of cash for when we do bottom. I should have heeded my linear version of GDXJ that Spock had targeting the mid 40s. The linear showed 38. We hit 39. Thats frustrating. Live and learn.
Wise words there Fully.
Excellent, Fully. Thanks for that well-written perspective.
One thing about “only” a 15% drop. If I start with $200K and it goes to $300K, then here comes a 15% haircut (so far.) 15% of 300K is $45K. The balance is now $255K. The gain is $100K but the loss is $45K. So profits sit at $55K. Still good, but a 15% giveback amounts to coughing up 45% of the profit. THAT’S what hurts. Thanks for reviewing the ways to avoid such pain.
silverboom, I hear you. But everyone has their own threshold for pain, and there is no one single investment style that fits all. You do what you have to do to get a peace of mind. It’s your money here, so it’s your call.