Newbie needs help!

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Bstone
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Newbie needs help!

Hello fellow Turdite's,

I just got into trading GLD and SLV in May 11' and in this short amount of time I have learned more about our government and currency then I ever did in school. It's amazing how messed up things are and thank GOD I have this site and another friend that has his eyes open as well. So not to bore you, I will get to my questions:

1. I have been playing the SLV Options for a few months now but now that I have created enough dry powder I have been playing GLD mostly trying to earn as much as I can to pay off my last debt which is the remainder of my mortgage, as my goal is to have no debt and owe nothing to no bank/person.

2. My other goal is to use this market to my advantage as long as I can so I can buy physical Gold and Silver.

3. That being said: How long am I safe buying Call Options on GLD which is still tied to the market. I don't have enough yet to buy a lot of physical but feel like the way GLD is doing and if I play smart I should have a nice pile of "shiat" sorry, I mean "fiat" currency to buy physical but at the same time this market makes me nervous and "will we see a collapse in GLD" any time this year or shortly thereafter?

Great Thanks to TF for putting a lot of effort into this site and sharing your knowledge.......YOU ROCK.

Also thanks to the rest of you that can help me out or just share thoughts that you think may help.

Thanks again,

Bstone

Edited by admin on 11/08/2014 - 06:31

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"Wild Bill"

John Galt
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My opinion is that you're

My opinion is that you're swimming with professional sharks and you're wearing a tuna fish Speedo.

But good luck to you nevertheless.

Some professional traders on here will be able to give you much better trading advice than me. When it comes to the realm of virtual wealth I was fortunate enough to have had an epiphany, which resulted in my "going Galt" in 2007.

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"So you think that money is the root of all evil.
Have you ever asked what is the root of all money?"

silverbleve
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.

get your physical first bstone. You will thank me later. The paper casino is rigged against you, listen to mr. galt, people like you are fresh meat, if this were anywhere other than turdtown all you would hear is come on in the water's fine! If I can give you one piece of advice, its dont gamble with money you cant afford to lose. If you dont have a stockpile of physical already you should go back and address that issue.

good luck!

Bstone
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Thanks

@ Galt..........That's funny with the tuna speedo, I never looked at it like that but sounds like I need a boat.

Silverbleve, Thanks for the advice and I am working on getting physical very soon.

I appreciate your responses and Thank You but I guess everyone has to learn at some time. So I will keep making that "fiat" and put it to use while I can. I do have money I put aside for this and hopefully GLD keeps going for the moon.

Thanks again,

Stone

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Brotha Bob
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I have EFT options

I have some EFT options too. Some have passed into the money. Others are getting close.

I bought then cheap way out of the money in May and June with expire dates at year end. Aim seeing a nice percentage return, but not what I would call big money.

Generally, I will buy two or more calls. When the prices gets to the point that selling one call can return my principle, I take my money back. And, let the profits ride.

I only do this with money I can loose. The EFT's are too risky to hold out right. Much prefer stacking phyz.

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SolarRave
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'Speedo' clad tadpole swimming amongst the Big Fish...

I wear a tin-foil hat and have been stacking physical gold as a hobby/insurance policy for a while now.

I come from an engineering background in applied mathematics. Recently, I have had some time on my hands in paying attention to the mechanisms of market movements and I want to understand how to recognise patterns in financial charts.

I have a high risk aversion and have no interest in placing any bets at this early stage of my understanding. I just want to get a grip with what tools and interfaces traders use to make assumptions and place bets.

Currently I use these tools:

http://www.netdania.com/

My question is: How does one go about playing with Options? Where does one start? Does one need to create an account with some online brokerage that provide you with a platform for day trading? If so, could someone suggest who. Are there platforms available that can be used to experiment with real live data but at no real cost or loss?

Any suggestions would be greatly appreciated.

silverbleve
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I'll try

ok well, you can get a free simulated account and mess around all you like. I used the lind-waldock site and started with $50k in the free imaginary account. 

Looking back I wonder how accurately those trades reflected the actual markets, but without going off on a tangent that was something that really helped me in the beginning.

Its also free!

Check it out and let us know what you think.

http://www.mfglobal.com/individual-trading/trading-platforms/simulated-trading 

also here is another charting tool you might like, not that it is better or worse just another flavor I personally have come to like:

http://www.forexpros.com/commodities/gold-advanced-chart

Using it to watch the Gold beatdown as I type! $1714 on the one minute.

SolarRave
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Thanks silverbleve for your

Thanks silverbleve for your recommendations, 

Gold is back up hovering around 1780 as I type; this I trust will give you some solace as well ;)

I think you may have hit the nail on the head with Simulated Trading. A good way to go forward in learning from mistakes. Thanks a million!

I need to work through this and I'll let you know how it goes.

Happy Stacking :)

silverbleve
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sounds good

Glad to help!

Once you open the simulated trading account and log into the interface:

1) click 'trading' on the left

2) list of commodity classes comes up, click metals

3) d is market depth, o is list options, q is list of available months for that contract

4) blue button is to buy red button is to sell

5) profit?

joking around a little, but let me know how it goes, I;m glad to try to help as best I can. Perhaps it might help to have a visual preview of Bernanke's speech tomorrow: 

(gold now 1785 as I type)

SolarRave
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Awesome close for the weekend : 1827 - Yipeeeeee!!!

Thanks again for your support and had a good chuckle at your cartoon :) :) :)

I'm riveted by all this volatility and find myself trawling through all the commentary and professional examinations way too much when in fact I should be focusing more on improving my own technical understanding. I didn't realise just how addictive this all could be...These are very exciting times, indeed.

Next week I'll create the account and have a play around...will keep you informed.

Having a good weekend and may we see a prosperous and successful week ahead for us gold bugs.

Desert Fox
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Perfect analogy

John Galt wrote:

My opinion is that you're swimming with professional sharks and you're wearing a tuna fish Speedo.

But good luck to you nevertheless.

Great line.

Bstone,,,many of us started out playing with paper. Time has shown us our friends and enemies.

Let's just say, we're in the second half of this "game" and I wouldn't want to be holding paper when the clock ticks down to zero.

Keep learning and do it quickly.

Good luck!cool

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