Any good trader or investor will tell you to buy low and sell high. Unfortunately, the masses tend to do the opposite- either because they follow the crowd into popular stocks/assets or they like something too much and make it personal (they believe strongly in something). In my opinion, the best way to actually measure value is to compare it to something. We all know TECH stocks are big right now- and they might continue to be for the next year or two. I don't know. But let's measure a hard asset against tech stocks to compare what is "low" vs "high". You can do this with oil, natural gas, coffee, lumber, toilet paper, etc.. In this case, I'm looking at silver compared to tech stocks (NDX). If you look at SILVER divided by the NASDAQ (SILVER/NDX), you get this really neat ratio that can help to identify the value of silver compared to the NASDAQ and look at the history of how the rotations work. You can be sure, SMART money is all over these ratio's. I prefer to buy low.
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oil to XLK (tech) the nasdaq: Enjoy the cheap gas while it lasts..
