xyZ5kLjZdsUTiutQDf2hLcgrU1xEWJa: 2012

Friday, December 7, 2012

The Factors That Dictate the Value of Coins

As a collector, it is best that you know everything about the value and what factors affect such, to be guided on what kinds of coins are worth to collect. Coin collectors look at the price and value of the coins quite seriously. The price pertains to the amount that they need to shell out in purchasing coins from various resources. The value, on the other hand, is the price that you will get paid for once you have decided to sell the coins on your collection.

More about the Coins - Condition and Melt Value

Most collectors of coins are aiming to gather the types in great condition and the ones that are no longer in circulation. As a collector, you should also learn the basics on how to keep the coins safe and clean. These factors are going to add on the value of the coins. This is the reason why you have to acquire the tools that are necessary to keep your collection intact.

You just have to bear in mind that the qualities that you are looking for on the coins that you want to collect are the same qualities that would be looked into by the people who will buy these coins after years have passed and you have decided to earn from what you have accumulated.

The melt value of coins, on the other hand, pertains mainly to gold and silver types. In this case, its metal properties determine the value of the coins. The price of these coins will depend on the market price of gold and silver. If you are a collector of these types, you have to keep an eye on these prices to make sure that you can get a good deal out of your collection. You would also know in this case if it is a good time to look, haggle and buy gold and silver coins.

What about the Factors of Supply and Demand

How important is supply in determining the price of these coins? This is a major influence when it comes to pricing. The available supply of coins is based on the initial mintage of the coin. In many countries, the coins are being destroyed when each year ends. This means that for each year, the supply of the coin can no longer be changed, except in instances when there are re-strikes.

The demand for any types of coins is dictated by different factors. For example, when the hobby became in demand in the US during the early part of 1990s, the demand for high quality coins became higher. The demand for some kinds of coins also grows as a result of marketing strategies that are regularly implemented and released by various coin dealers

There are indeed a lot of factors that help in determining the value of the coins. As a collector, you have to know what these factors are and when is the best time to add coins on your collection as well as the best time to sell and start earning from these.

How to Ensure You Purchase Authentic Antique Silverware Precious Metals Price Discovery - At and Despite the Margins Gold Bullions - An Investment Option Counterfeit Coin Detection - 4 Ways to Initially Spot a Counterfeit Coin (and Avoid Being Taken)

What Would Silver Buyers Accept and Purchase in Addition to Silver

When you seek out silver buyers, you have a lot of different types of people you may run into during your trades. While it goes without saying most of the time that most of the people who like to buy silver enjoy a lot of kinds of investments, there are some things that do not meld well together in even the most liberal investor's portfolio. If you phrase it correctly, you can call almost anything an investment. But that does not mean that anyone will want to buy it under most normal circumstances. The types of assets listed and discussed here might be worth considering.

One type of asset that the average silver buyer might enjoy is gold, along with other types of precious and semi-precious metals. Gold, palladium, platinum, copper and some other, lesser known metals may be valuable for traits including their color, their collectability, their potential use as trade items and their functional uses in industry. Any kind of metal that keeps well without tarnishing easily can work in the same way that silver can, albeit without silver's best and most unique properties. If you can sell silver to such individuals, you can also most likely sell them other things of the same basic nature.

In the same way, gems and some types of stones can also work well. While most stones are not as functional as metals are, they can be just as rare and even more beautiful. Painite is an exceptionally rare type of mineral that is only found a few places in the world. Diamonds and Rubies are useful in a number of different industrial processes, and thus could have tremendous trade value if the world ever came to that. If you have never seen a properly iridescent opal before, you are missing out on an object of exceptional beauty that would catch any trader's eye.

In some cases, an individual who wants to buy silver might want to also purchase fine works of art. There are some caveats to this, however. One of the most major issues that plague any deal that involves artwork is that it has to be an original by a person that most people who are not art historians would recognize. You also have to consider that liquidity is not going to be substantial for such a recognizable work, as only millionaires can afford this caliber of asset price. This does not even take into account the additional security you need to keep in place to protect such a work of art from both damage and potential theft. While a buyer of silver might also be a buyer of art, choose your market carefully.

Perhaps one of the best types of assets for a buyer of silver is coinage. While coins are technically made out of metal, they are rarely pure. In some cases, a rare alloy of two or more metals can actually result in a higher level of value due to its rarity. Nonetheless, the metal value of coinage tends to be overshadowed by the coin's value because of its beauty, rarity and collector desire.

How to Sell and Buy Silver Coins

The number of people who buy silver bullions and coins continue to increase but only a handful of people know how to get the best value for their collection. There is more to being a coin collector or a precious metal investor.

Silver coins appraise differently compared to when you buy silver bullions. Their value does not fluctuate depending on the current price of pure silver. The price depends on the age, rarity, and condition of the item.

Having a good coin dealer can help especially for someone just starting out. Make sure the coin dealer is someone you can trust. You do not want to buy silver coins only to realize too late you have been tricked into buying fake ones. Learn the tools of the trade to avoid scheming dealers.

Take extra care when you buy silver coins online. Make sure the online dealer is accredited or has the permits to make such transactions. Research for reviews. If you feel there is something off with the online trades, move on and look somewhere else. Deal only with websites you recognize.

Training yourself to spot counterfeit coins can be valuable. Luckily, even the most well-made counterfeits have noticeable errors if you look hard enough. If you buy a silver coin and you are not sure of its authenticity, check for superficial differences compared to authenticated coins. Coins with misshapen dates and dents are fakes.

If you do not see any irregularities, get a feel of the coin. Counterfeits tend to be more slick and slippery. Also, check the edges of the coins. Genuine coins are made with thin, even edges around the circumference. Fake coins either have thick edges or do not come with any at all.

If you have built a decent collection, keep them in prime condition to keep their value high. It is easy enough to clean silver coins if you take good care of it regularly. For extensive cleaning, soak the coin in lemon acid with iron nails for half an hour. If they still have dirty spots, you can use vinegar or sour milk on tissue paper and rub gently. Another alternative is to use a raw potato, rubbing the insides against the coin.

Always check the current value of silver especially if you have invested in bullions. For major investments, find an adviser who can suggest the right time to buy and sell precious metals to avoid losing a lot of money. As for coins, they are better left undisturbed for as long as possible. They can be an added source of income when you retire.

Whether you plan to collect rare coins or just buy silver bullions, doing a bit of research will go a long way. This will not just benefit you when the time has come to sell it, you might even discover you already have a collection you can be proud of.

Collectible Certified Rare Gold and Silver Coins and Bullion: Precious Metals As an Investment

Investors, concerned about the economy and preservation of wealth, are discovering the 21st century gold rush. This is partly because since 2001 the dollar has fallen over 40% and 95% since the 1950's. As the dollar declines, gold becomes a much more trusted investment because the value of gold has never been zero.

Every year, around 2,500 tons of gold is mined from the Earth but the global demand for gold far outweighs the supply, driving up your investment even more. You could own gold in the form of ETF's, commodity options or mining shares, but possession of gold coins is unique.

When you invest in certified, rare gold or silver coins, you are not just putting your faith in the value of gold itself. Part of your portfolio should be in investment grade, collectible gold coins that are in good condition and relatively scarce. That adds tremendously to the value of your gold investment - almost like having a built-in insurance policy.

These coins are certified by either the Numismatic Guaranty Corporation (NGC) or the Professional Coin Grading Service (PCGS). This means you can have greater confidence in your investment and know that it is easily liquidated when you are ready to close your position at any of the thousands of gold dealers across the country. And of course, we will buy back what we sell to you, as well.

Gold can also be used in a self-directed IRA or 401K plan. After 2008, imagine how your retirement plan might have looked if you had a percentage of it invested in gold. Diversifying your portfolio by investing in gold decreases your potential risk and could even dilute your potential rewards but if you are interested in at least preserving your wealth, you need to have a position in gold which is still yet expected to go much higher.

With gold, you have personal and private control over your investment. While "private wealth" seems a thing of the past, gold gives you that privacy. In other words, neither an IRS 1099 nor a social security number are required to own investment grade rare gold coins. No other tangible asset offers 100% privacy and portability except gems or diamonds which are not nearly as liquid as US rare gold coins.

And although there is nothing like holding a gold coin in your hand, you can't ignore the wealth preservation and growth aspects of gold as a solid and wise investment. You don't have to be among the super wealthy or extremely knowledgeable about investing in gold. It's much simpler than might think.

How to Ensure You Purchase Authentic Antique Silverware Precious Metals Price Discovery - At and Despite the Margins Gold Bullions - An Investment Option Purchase of Gold And Silver - Find The Best Deals Counterfeit Coin Detection - 4 Ways to Initially Spot a Counterfeit Coin (and Avoid Being Taken) How to Know Where to Buy Gold

Gold Investments: Reasons and Benefits You Need To Know When Investing In Gold

It is safe to say that investing in gold is the best alternative we have today with the current situation of the economy. No matter how long it takes for the process to finish, this method provides us with great dividends. Individuals are investing in gold to add financial support to their retirement. But one should ask "What kind of benefits will I get if I invested in gold?" Therefore, it is very important to have knowledge about gold investments because this will help you in the long run.

Historically, gold has been used by men for accessories and trades. Today, however, it is used as an asset that can be invested in retirement plans like IRA and 401K. Due to the fact that it has a higher value than money, it only makes sense that investing in it is a wise idea. The value of gold appreciates over time unlike other assets which tend to depreciate when the economy goes down. So what are the reasons why you should have gold investments in your IRA?

When you have an IRA, the first thing that you should do is to diversify your portfolio. Gold investments can diversify your portfolio because it provides stability. Although the price of gold had a minor dip in the past, there is an excellent chance that it won't happen again. With the current economy of the United States, it is to be expected that price of gold, as well as silver, will increase. With increasing economic crises we have today, your IRA account is of big help. Needless to say, you should invest gold in it because it is seen as a good investment. While you are at it, why don't you consider gold IRA? You can invest your funds in this account while investing in gold as well.

One good reason why you have an IRA account is your fear of the economic downfall. Investing in the stock market is good but you are only wasting your time in it. If you want to strike good fortune then gold investments is the answer to your problem. Gold will offer you great opportunities and it should help you negate the low interest rates and currency values we are having. As what is said, the value of gold cannot be affected by the economic fluctuations.

With the increasing demand for gold, the supply it has in the gold market is decreasing. This is because countries around the world with plummeting economies are buying gold reserves to save their financial system. Also during inflation, many investors and stock holders are pulling out their money and are turning their attention to gold. Therefore, if you want to invest in an asset then you should invest in precious metals like gold and silver in IRA.

These are some of the benefits that you will get with gold investments. Opting for gold IRA should not only help you invest in gold but also in other precious metals and physical assets. So if you want to have a successful retirement then you should invest in gold.

The Gold to Silver Price Ratio and the Surge in Silver Jewelry Buying

Some would say that the gold to silver price ratio is meaningless.

Others debate whether it will revert back to historic values maintained at a level mandated by law or policy, or if it will be based on actual above and below ground supply. Above ground investment grade silver is reversed, with five times more gold, while estimates indicate that nine times more silver than gold remains to be mined.

Yet where does the actual gold/silver ratio matter the most? Perhaps a look at price discovery at the margin in the jewelry markets would be illuminating since price and perception of value are always at play.

Another Look at Price and the Sticker Shock Effect

In the mind of the mainstream media, gold is expensive, even though it may be a relative bargain on an inflation adjusted basis or given the questionable value of paper money.

Few people would think twice before placing a $5 item in their shopping cart, but almost everyone would question their buying habits at a $10,000 price point.

As prices rise higher, consumers and investors tend to seek out alternatives, even if the higher priced item is still a relative bargain. From the perspective of consumption, but not investment, the price of an ounce of gold seems high to most people.

Furthermore, as gold prices head higher, jewelers have been moving towards selling lighter pieces with less gold and more silver content in an effort to reduce the "sticker shock" effect on their customers.

Gold's Price Relative to Silver's

Based solely on changes in metals prices, a $100 bracelet bought in the year 2000 would cost more than $600 today. At prices in between those two price points of $100 and $600, plenty of jewelry buyers have had second thoughts about their prospective purchases.

To continue to attract shoppers and keep demand at acceptable levels, jewelers typically lower the karat weight of gold and increase the amount of silver in the pieces they offer.

For example, a 22k gold band made of gold and silver is just as yellow but is nearly 10% less expensive than a 24k band. To a shopper, the difference between a 22k and 24k ring is typically insignificant, but to silver investors, this difference is huge.

After the fall of bimetallism and the disappearance of commodity backed paper currencies, the gold and silver ratio lost some of its former stability. Largely due to the world-wide depletion of government silver stockpiles, the ratio that was previously constrained by law became considerably more volatile,.

Recently, the gold/silver ratio has once again approached record highs since the price of silver has been depressed much further than the price of gold since April 2011.

Confirming the Gold to Silver Ratio

The retail jewelry marketplace demonstrates that the gold to silver ratio still has some fundamental backing outside of its former legally-defined levels.

Basically, when gold gets too expensive relative to silver, jewelers simply add more silver to reduce the per-item price and mitigate the resulting sticker shock to consumers. As the market for gold jewelry has cooled off since 2005, silver is quickly taking gold's place as a jewelry metal.

Should the economy rebound fully to its 2007 boom levels, an accompanying surge in consumer jewelry purchases will increase demand for silver to fill the gap in affordability left by the sky-high price of gold.

Furthermore, with silver production routinely running under the level of gold production, any change in consumer preference from gold to silver will be multiplied by the differences in available metal stock and production supplies.

With the tide turning in the jewelry market, silver investors can expect not just higher silver prices, but higher gold prices as well.

Silver Metal Now and a Golden Traveler's Check

One of the main advantages of buying silver versus more costly precious metals like gold and platinum is that silver's relative cheapness allows you to buy more metal for the money.

Furthermore, inflation is a reality that eats away at the value of all paper currencies, while boosting the value of hard currencies like silver.

Given the likelihood of ongoing paper currency devaluation and debasement, despite short term perceptual fluctuations in the basket of floating currencies, the U.S. Dollar you are holding today is more valuable in terms of its purchasing power today than it will be tomorrow or a year from now.

Putting Things Into Perspective

If you are skeptical about holding silver or need a way to determine what time frame you should be holding silver for, you can consider the following question:

Given the at least 95% loss of purchasing power in the U.S. Dollar seen since 1913, with the vast majority of that loss of value occurring over the last 40 years, what would you rather be holding one year from now: An ounce of silver or the amount of U.S. Dollars that can currently purchase an ounce of silver?

Now ask the same question over a three, five and ten year time horizon. If your answer is consistently silver, then you really should be stocking up now that its price has retraced substantially from its recently made long-term highs.

This type of analysis allows you to put things into perspective and tolerate the short-term noise as the silver market fluctuates with less anxiety.

Why Choose Silver Over Gold?

Silver is currently preferable to gold for a variety of reasons. One of the most compelling is the price to supply ratio. The current supply of investment grade silver is 1 billion ounces versus 5 billion ounces for gold, while the ratio of metal in the ground is below 20 to 1.

Furthermore, both metals are well below their inflation-adjusted highs, especially when you calculate inflation based on an older, simpler methodology. In fact, silver is even more attractive than gold from this perspective.

Another factor is that silver is actually a more strategic and necessary commodity than ever. Its growing use in electronics, health applications and solar power production assure strong industrial demand for years to come.

Traveling With Silver's Bulk in Emergencies

Some investors who like to hold precious metals as an emergency get-out-of-town card are concerned about silver's extra bulk compared to gold when traveling. Basically, a given dollar amount of silver is much heavier and bulkier than the equivalent dollar amount of gold - so silver is just not as portable as gold.

Nevertheless, silver is not really that bulky relative to its value since a bowling ball made of pure silver would be worth well over $20,000 at $30 per ounce. What else can the average person readily accumulate and store in their house with the equivalent size and value?

Still, if you really need to 'get out of dodge' in a hurry or on foot, it would admittedly be a lot easier to carry only 15 ounces of gold - until you can switch back to silver of course!

Fortunately, investment grade silver and gold share enough properties to make them easily convertible into each other in emergencies. Silver is also easier to spend in small quantities to pay for the necessities of life while traveling.

Why Gold and Silver Are Still A Major Bargain

Obtaining physical gold and silver and keeping it outside of the banking systems, becomes the greatest form of wealth protection for your assets. Assuring you against either a deflationary collapse or the hyperinflationary destruction of paper currency. These precious metals are absolutely vital to your financial survival. Below are several facts necessary to understand first, so you will know why precious metals are still very much undervalued.

1. The US Federal Reserve Chief Ben Bernanke has steadily been increasing the US monetary base money supply. This is the actual paper dollars that are in circulation plus all the commercial bank deposits held at the Federal Reserve. From 1808 through 2008 the US monetary base currency supply reached 825 billion dollars. At this time, this was the total amount of dollars in existence. In 2008 the US financial crisis hit America, Ben Bernanke started bailing out banks. From that point through 2010, the US money supply increased from $ 825 billion to $ 2.8 trillion. So in just two years time the monetary base money expanded four times. Previously it took 200 years to acquire the first 825 billion dollars.

Another measure of the currency supply is called M3, which is a broad measure of the currency supply. M3 money directly stimulates the economy and comes into existence when someone takes out a loan to buy a big item such as a car or house. That house you purchased required employing people such as the agent to sell the house, the contractors to build it, the developers and so on. It takes a lot more time for base money to stimulate an economy than M3 money. Therefore base money cannot be heavily relied upon to stimulate the economy.

If you were to see a chart with the US base money supply and M3 money supply from present going back at least 20 years you would see a collapse, currently happening. When you deduct the base money that's been created by the Fed from the current M3 supply you will notice a 12% collapse. This is serious, a big red flag warning event. Yet the Fed does not heed this warning, as they keep inflating the base money. This is an emergency that will only compound and get worse as time goes on, until the whole house of cards finally collapses. This is only the second time in history that the currency supply has contracted like this. The first time this happened was at the on-set of the Great Depression.

The definitions of inflation and deflation are the expansion or contraction of the currency supply. The situation above presently clearly states, that the economy is in a serious deflation. Rising and falling prices are a sign of monetary inflation or deflation and were headed right into monetary deflation.

2. Another very interesting fact is that throughout recent history every 30 to 40 years a new monetary system has been created and then it fails.

• 1870's - 1913 we saw the Classical Gold Standard lasting between 30 and 40 years. • 1913 - 1943 we saw the Gold Exchange Standard lasting 30 years. • 1943 - 1971 we saw the Bretton Woods System lasting 28 years. • 1971 through present, the world has been on the Dollar Standard just about 41 years now.

The Dollar Standard if history repeats itself, it's already overdue for failure, like the other monetary systems of the past. Therefore the collapse of the dollar itself is overdue. For certain sometime in this decade if not sooner, a new monetary system will need to be developed. That new system is sure to include gold to back the new system. Finally, once again creating sound money. Currently the IMF and the World Bank are preparing and discussing these issues. At some point when the "house of cards" has either collapsed or is near collapsing you will see the finance ministers of the G20 countries come together to decide upon a new monetary system.

3. The new system that will at some point be adopted again, will have gold backing it, to hold it together. If a system again were created such as the Bretton Woods system where only central banks could exchange their dollars for gold, then it would require gold in excess of $5,000.00 per ounce to back up the new system just to sustain it. And if the new system were to back all dollars that are in existence with gold, it would have to be valued at $203,000.00 per ounce. Surly something will need to be done. A man-made monetary system cannot account for all free market forces and it will eventually be destroyed as seen above.

4. If you were to have invested $1.00 into the Dow Jones back in 1971 and held that investment until today you would have gained 13 times your investment or $13.00. Had you invested that same dollar into gold in 1971 and kept it until today you would have earned 47 times its value or $ 47.00. Not only did the yellow metal way out perform stocks, but it is a physical metal you can hold onto and keep physical control of, thus not let the banks control it. When you own stock it must be on a brokerage system, where in the end banks control it, not you.

5. The Gold/Dow ratio chart is actually the price of the Dow divided by gold, and priced in stocks. If you were to view it today going back to 1980 you would see the gold bubble peaked at $850.00 an ounce. (100 percent for the chart) And you would see today, that the value of the yellow metal priced in the Dow, is around 20 percent of the Dow. (Opposed to 100 percent at its 1980 peak) This means now, the yellow metal is 80 percent undervalued by the price of the Dow. Therefore the yellow metals current price is, undervalued and extremely cheap.

6. The Silver/Dow ratio chart is the same as above only the Dow is divided by silver and priced in stocks. If you were to view this chart again from present going back to 1980 you would see the peak for silver in 1980 at $50.00 per ounce. (100 percent for the chart) and today the value of silver priced by the Dow would be around 0.5 percent of its 1980 peak. This is extremely undervalued to stocks and at silver's current market price, it's an absolute steal.

Now that you understand some of the specific factors related why silver and gold have been so severely undervalued for so long, you can rest assured that these precious metals even at their current prices, are still a bargain hunters dream.

Tom Genot -

Selling Gold for Cash

Gold comes in many forms and most people have treasured items they could never exchange for anything. This is because of the value that comes attached to the precious metal and the class it gives to the owners. It is however easy to find that such items get spoiled or become useless with time but the fact is that they are still valuable and you always have the option of selling them for money.

The gold items are mostly in form of jewelry and there are lots of willing buyers in the market even if they could be broken. You can get good money for any piece of gold that you have to your possession. The gold prices in the market are soaring and you can always take advantage when you feel the price will reap great returns to you. The gold buyers or dealers will always be willing to buy the gold from you and will offer amazing ways of paying for the items after they have been received and tested as well as weighed.

When selling your gold, it is important that you find a dealer who offers convenient and secure way of sending the items as well as receiving your payments for them. Most of the dealers will offer options from which you can choose. To get the best value for your gold, you will need time to search for the best deals in the market. You can relate what the dealers have to offer in relation to the current value of gold. There is always the option of waiting till the prices improve to get the best from you precious metals.

When looking to sell gold, you can choose to either go directly to the dealers or conduct the whole affair online. Most people prefer the online option since it is free from stress and is quite easy. It also eliminates time wasting which comes with moving from one store to another trying to negotiate the prices. This is because you will get all the information you need from the sites before deciding whether you are selling or not. You will also have an easy time comparing between what the different dealers have to offer and then picking a deal you feel is best for you.

The online option of selling gold for cash also comes with its risks and it is important to take every essential aspect into consideration for best results.

What's Wrong With Gold?

While the stock market has been a loser on a buy and hold basis over the last 12 years (the S&P 500 is still 14% below its peak in 1999), gold surged up 625% over the same period, from $255 an ounce in 1999 to its recent high of $1,850 in March. As with each of its previous record highs there was much excitement and widespread forecasts of $2,500 gold by year end, $5,000 gold in the not too distant future.

But this time instead of still higher highs, gold has dropped $300 an ounce.

What's wrong?

The driving forces that were driving it higher have gone away, at least for a while.

For instance, gold is the historical hedge against rising inflation, and the theory has been that the global easy money policies of recent years couldn't help but create an inflationary spiral. But it hasn't happened. Inflation in the U.S., the world's largest economy, remains tame at around 2%. Inflation did pick up in other regions over the last two years, notably China and India, which helped extend gold's bull market. But those countries fought back aggressively against inflation with interest rate hikes and other tightening measures that brought their inflation fears under control. The concerns now are that they went too far and have slowed the inflationary pressures of their strong economies too much, and now face serious deflationary economic slowdowns.

Perhaps surprisingly, gold has also not been perceived as a safe haven in the current time of uncertainty as has often been its history. With the return of the eurozone crisis over the last three months, gold has actually declined, and the perceived safe havens seem to be the U.S. dollar and Treasury bonds.

Demand for gold also depends to a significant degree on the jewelry trade. According to Thomson Reuters and the World Gold Council, over the last five years 12% of gold demand was for use in the manufacture of tech products, 33% from investors, and 55% for jewelry.

And that important demand from jewelry producers is taking a hit. The World Gold Council reports that jewelry market demand for gold fell 2.7% last year, but was more than offset by investor and public buying. Jewelry demand fell 6% year-over-year in the 1st quarter this year. But will investors and the public continue to offset that worsening demand? The All India Gems & Jewelry Federation reports that gold consumers in India, the world's largest importer of gold, are now selling gold "aggressively".

Anecdotally, the stories over the last two years have been about public demand for gold being so high that ATM-like machines dispensing gold coins and bars were becoming a growth industry. However, over the last few months, with people strapped for cash in the newly stumbling global economy, the stories are of people flooding jewelry stores, street-side gold 'dealers', and pawn shops, looking to sell gold coins and jewelry items to raise cash.

Meanwhile, there are two basic types of gold; that which is above ground and in circulation, and that which is still in the ground owned by gold mining companies.

An interesting phenomenon of the last two years has been the divergence between the price of gold bullion and the stocks of gold mining companies. Mining company stocks normally rise and fall in tandem with the price of the product they produce, the bullion, and the un-mined reserves of that product they still have in the ground.

Yet, while the price of gold bullion surged up 31% from $1,415 an ounce in December 2010 to its high of $1,850 in March, the gold mining stocks, as measured by the XAU Index of Mining Stocks, plunged 38% over the same period.

Traders and a number of large hedge funds bet heavily on gold mining stocks over the last year, on expectation that the divergence could not last and the mining stocks would rally sharply to catch up with the spike-up in gold prices. But the mining stocks continued to decline. It's still a popular theory that the mining stocks will eventually have to rise to match the increased price of bullion.

Apparently not being considered is that perhaps the mining stocks, not the bullion, have the value picture right, and the divergence will be resolved instead by the price of gold dropping down significantly to return the relationship between bullion and the gold stocks to normal. That's not a prediction, but is certainly a possibility to consider. My technical indicators remain on a sell signal for gold and I will simply stand aside until they reverse to a buy signal again.

Meanwhile, gold has been very volatile as it has declined from its March high, short-term traders repeatedly jumping in to try to catch the bottom, creating brief rallies. But brief demand from short-term traders is not the type of demand that gold needs for a sustainable rally that would put it back in its previous bull market.

Gold Buyer: How to Value Your Gold Jewelry

Many people have gold jewelry that holds great sentimental value. Many people have gold jewelry that holds no special meaning. And many people have gold items that fit into both categories. If you want to sell gold jewelry, it is important to have a solid idea of its worth before you approach a gold buyer. The price of gold has increased substantially over the past years, and if you are considering selling some of your gold jewelry there are a few tips you should know in understanding the value of your items. By knowing how gold dealers calculate the value of your gold, you can ensure you are getting a fair price.

Know Your Karat

• The first step is to determine the various karats of your gold jewelry. Small numbers representing the karat value often will be inscribed on the jewelry, such as 10k, 14k, 18k or 24k. You will probably need a magnifying glass in order to properly read the karat numbers inscribed on each piece.

o Note: A Karat is a unit of measure used in defining the amount of gold in an item. However, a Carat is a unit of measured used for the weight of a gemstone.

• If the jewelry item was made before 1980, the actual gold content may be slightly less than the number would indicate. Jewelry marked as 18K could actually be somewhere between 17k and 17.5k in gold content. The laws requiring marking that is more accurate were enacted in 1980.

o Note: Separate your gold items by karats. Also, separate any jewelry that includes gemstones. You will want to have the stones removed before you approach a buyer for your gold. If the stones are not easily removed, a jeweler will be able to assist.

• If there is no number on the item, it may be gold-plated. Gold-plated items have a thin layer of gold applied over a base metal. This is usually accomplished through a process known as electroplating. A chemical test, called an acid test, may be required to determine if an unmarked item is pure gold, or gold-plated. This test can be conducted by a jeweler, or do-it-yourself kits can be purchased from a jewelry supply store.

Know the Price

• Through the Internet, it is a quick and simple process to determine the current price of gold. Gold prices will be listed per troy ounce. A troy ounce is equal to 31.1 grams, and the gram is the common measurement used in weighing gold. Divide the current gold price by 31.1 to determine the price per gram.

o Note: It is important to remember the price of gold may change between the morning and afternoon of the same day.

Determine the Value

• You will need to weigh your gold jewelry on a scale to determine out how many grams of gold you have. If you have a large amount of gold jewelry to sell, you may want to buy a jeweler's scale, or use a food scale if it displays weight in grams.

• For each group, divide that karat by 24, and then multiply that number by the current market price of gold.

o For example:

ï‚§ 14k = 14/24 =.583

ï‚§ Current price of gold at $1,700 per ounce

ï‚§ $1,700 / 31.1 = $54.66 per gram

ï‚§ .583 x $54.66 = $31.87 per gram

• Using this amount, you can determine 10 grams of 14k gold at this price would be worth $318.70.

These tips will give you an accurate idea of the value of your gold jewelry. When dealing with a entity wanting to buy gold, you can expect to receive between 50% and 60% of the calculated worth.

Learn About The Modern Precious Metals And Trading Techniques

We are living in a world filled with possibilities. You can easily find thousands of offshore companies, which will help you to trade Investment advisory. Any metal can be classified under the head line of precious metals, if it has a high rate of economic value. In the modern world, it is quite easy to sort out the source and mining techniques. Most of the Investment advisory are available in free form. Gold is the most suitable example for a precious metal. You can easily purchase gold, silver, and platinum gold coins from numerous online stores. Many countries produce bullion coins and metal bars as an investment. These treasures will help the country to maintain its economic balance at the time of economic recessions and price inflammation. It is impossible to convert every precious metal into a bullion coin, even though it is precious. Mercury is one of the best examples for such precious metals. You cannot easily convert metals like mercury into bullion coin form. Physical and chemical properties of these metals also play an important part in their economic value. If you are interested in the trading of precious metals like gold, silver, and platinum, you can use the help of online agents.

More About Precious Metal Trading

Many countries produce gold, silver, and platinum coins. The quality, size, weight, carat rate, and purity will change according to the standards of respective countries. United States of America produces gold bullion coins for everyone. You can directly purchase 22 carat gold coin from their resource. US produce gold coins with 91.67% purity. Canada contains many gold mines, and jewelry stores. It is possible to purchase Canadian maple leaf gold coin, which is comparatively ultra pure than American coin. The Canadian maple is 99.99% pure. The economic value and weight will change according to the purity and carat rate. If you are interested in Trust Services trading business, you can use the help of online companies. You can select a good offshore company from the numerous available choices. If you are an experienced investor, you don't need an explanation about the reliability and profitability of gold investment. Even countries use the help of gold and silver, to stabilize the slight economic imbalances. If you don't have any experience in this field, it will be better to hire an employee.

More About Gold Trading Companies

It is quite easy to find a reliable offshore company for investment purposes. You can ask the help of your friends and family members before selecting a specific company. It is also possible to get liquid cash by selling your investments to these offshore companies. They will also help you to learn more about the gold trading industry and its hidden threats. You have to learn more about the gold coins and carat rate determination methods, for building a prosperous career in this field.

How to Make Money Buying Scrap Gold

Even though news reports say that the economy is recovering, the price of gold doesn't show it. It has been as high as $1800 an ounce, and now is a great time to get into the cash for gold business. To avoid being swindled, there are some things you need to know: what constitutes "scrap gold", where to sell it, who to sell it to, and the price you should get for the gold.

What is Scrap Gold?

Before doing anything else, you need to know what scrap gold is. Strictly defined, it's any gold that has been discarded and is suitable for reprocessing. Any leftover gold that can be smelted and reforged is scrap, such as bent, broken and tangled jewelry, casting gold, cluster rings, dental work, gold dust and flake, pins, brooches, sheet, solder, and even gold-plated chips and CPUs.

How Much is it Worth?

To determine the value of your gold, you'll need your math skills and a scale (preferably one of the type used by jewelers, but a kitchen scale will work as well). Most dealers and refineries transact gold on a pennyweight basis, so if you're using a kitchen scale, you'll need to convert from grams or ounces. One ounce is the same as 20 pennyweights, and 1.5 grams is equal to one pennyweight. Once you have weighed your scrap gold, check the spot price. That figure is in ounces, so divide it by 20 for its pennyweight value or by 31.1 for its gram value. Keep in mind that the spot price is for pure gold; scrap is never pure (24 karats). You won't get the entire spot price, but you'll have a rough estimate of your profit.

Selling For a Profit

Now that you've assembled your gold and figured its worth, you can decide where you'll sell it. There are two main places that buy scrap gold: dealers and refiners. Dealers are middlemen who buy gold and sell it to refineries, but you can avoid their fees by selling to the refiner directly. Refiners are those cash for gold companies we've all seen on television, offering to buy scrap and unwanted gold. Look in your local phone book for refiners; they are also readily available online.

When preparing to buy gold or sell it for a profit, remember to deal only with established, reputable companies. The importance of dealing with a good company is nowhere more apparent than when selling gold by mail. Most good companies will have a website with a gold calculator so that you'll have a rough estimate of how much you will make; the best companies even offer a price guarantee. Following the advice given above can help you avoid many of the traps and pitfalls of the "cash for gold" business.

Where You Can Sell Gold For The Purpose Of Maximum Profits

A common staple for television and film adventure stories is that gold and treasure is always equaled to fortune. There is no denying this fact, but something that many people seem to neglect is how to properly sell their gold. Not many realize how easy it is to lose profit. With these tips, you can be ensured that this will never happen to you. You can be ensured that you can sell gold easily and proficiently.

The process of selling gold largely depends on what type of gold you are selling. The most common is gold jewelry. Selling gold jewelry is a fantastic way to earn some quick and easy money. The first thing you must do is determine the overall market value of your jewelry. There are several steps involved that allow you to take advantage of your gold's worth.

The first step is to determine the gold percentage of your piece of jewelry. A piece of gold jewelry that is twenty-four karats has one-hundred percent gold. To determine the gold percentage of your jewelry, simply divide the number of karats by twenty-four. If your piece of jewelry is twelve karats, that means it only has a gold percentage of fifty percent.

The next step is to identify the weight of the gold in your piece of jewelry. This can be done by multiplying the gold percentage of the jewelry with the overall weight of the piece of jewelry, measured in grams. If your gold percentage is fifty percent, and your piece of jewelry weighs thirty grams, then that means the weight of the gold in the jewelry is fifteen grams.

Once you have the gold weight in grams, it must be converted to ounces, as this is the standard measurement used for gold. The conversion rate for grams to ounces is that one gram is equal to 0.0353 ounce. All you need to do is multiply your gold weight by 0.0353 to get its weight in ounces.

Now that you have the gold weight in ounces, you can identify the exact market value of your gold. Simply research the current gold rate that gold is selling for and multiply by the number of gold weight ounces in your piece of jewelry. The gold rate is constantly fluctuating, so it is best to make sure you have an accurate as well as current rate.

Knowing the market value of your gold is a key element in achieving maximum profit. This will also allow you to avoid getting swindled or scammed by a gold buyer. If a buyer is bidding a price that is below its market value, then you know that you are not getting the best deal. It's best to tell your buyer that you are aware of your piece of jewelry's value. This will repel any further attempts at scams or anything similar. Sometimes, it's fine to sell your gold for less than its market value, as it is often difficult to find a buyer that is willing to purchase the gold for it's full value. The lowest you should ever go is fifty percent. Any lower is unacceptable.

Another tip is to always make sure that your buyer is reputable. It is often best to sell valuable items such as gold face-to-face such as at a jewelry store. Selling can still be done online, but it is best to meet your buyer and discuss terms in person. Also, always check your buyer's background information.

As long as you understand the worth of your gold, and stay firm and confident in it, then you should have no problems whatsoever.

When the Funds Are Low And The Debt Is High

If you need extra cash to make it to your next paycheck, selling your coins may be helpful. Coins don't need to be solid gold or silver to have some value over face, and even common circulated coins can sell for several times their face value.

My grandmother collected pennies for years, and when she got older and lost interest in the pennies, she passed them on to me.

Most were Lincoln head pennies, but they were dated before 1959 (the obverse of the penny was changed from the wheat design to the Lincoln Memorial design in 1959, and changed again in 2008 to a simple shield with the words 'one cent' emblazoned across it-not to mention the change in 2009 to celebrate Abraham Lincoln's 200th birthday).

There were also the WWII era steel pennies (during the war years, copper was much too valuable in the war effort to be used to make pennies, therefore the pennies were made of steel.

Among all the Lincoln head pennies were a few Indian head pennies. These were minted from 1859 to 1909. Depending on condition and rarity, values range from around $1.50 to $19000.00 (unfortunately, I didn't have any of the Indian head pennies that were rare enough to command the later price).

The most unusual coin in the collection was an 1861 Large Cent. When I'd originally tried to sell this coin, I got a disappointing offer of $4.00. Even though the coin was pre-Civil war it was not rare nor was it in excellent condition. I held on to the coin for several years, and ended up selling it last year for $10.00 (which is better than nothing, but certainly not the bonanza I had hoped for when I found it).

The wheat design pennies were worth one to five cents each when sold to coin dealers or collectors.

The WWII era steel pennies were worth forty-five cents each. If they are in great condition (mine were not) they can be worth up to $12.00. If any rust is present on the steel pennies they have no value at all.

The Indian head pennies in my grandmother's collection were not in very good condition. The major portion of the collection was just all jumbled together, and this causes deterioration of the coins themselves. To retain value, a coin needs to be placed in a coin sleeve or coin board. I received anywhere from fifty cents to one dollar each for the Indian head pennies.

Friday, December 7, 2012

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