When is the Best Time to Buy Precious Metals?

Stefan Gleason Stefan Gleason

Stefan Gleason

November 28th, 2022 Comments

Many investors who are thinking about buying gold and silver are waiting for the right time. But what exactly is the right time?

The truth is that no particular date on the calendar will ever announce itself as the right time to buy. And no self-described market timer is capable of predicting when ideal entry points will emerge.

Investors who want to wait for bullion to get cheaper before buying risk never being able to buy because spot prices never become cheap enough.

In a bull market, the best time to buy was yesterday. The second best time to buy is now.

Of course, downswings will occur within any bull market. Some can be quite severe.

Investors who succumb to fear and hit the sell button when market conditions are adverse risk making the exact wrong decision. Prices could surge the very next day and keep surging thereafter.

Market conditions for precious metals have been choppy in 2022. While year-to-date performance has been disappointing to some gold and silver bugs, actual bullion buying has remained robust.

Buying activity sometimes even picks up after sell-offs as bargain hunters step up to the plate. Gold and silver investors tend to be hardy, long-term holders.

Buying activity in the stock market, by contrast, tends to be driven heavily by trend followers and algorithmic traders who have time horizons that are measured in minutes or days instead of years and decades.

Studies have shown that most traders not only fail to beat the market but actually underperform it.

Buying and holding during a bull market is the surest way to profit from it.

And the surest way to avoid buying at the wrong time is to buy in increments over time.

Investors can protect themselves from the risks of being on the wrong side of up, down, or sideways markets by simply adding to their positions regularly, regardless of price, by their long-term objectives.

This strategy is also known as dollar-cost averaging. And Money Metals’ Monthly Savings Plan makes it easy for bullion investors to implement. Just Choose the monthly dollar amount you wish to invest (as little as $100) or the monthly number of ounces you want to buy.

By exchanging depreciating U.S. fiat currency for sound money regularly, you’ll have good odds of coming out ahead over time in terms of purchasing power.

Stefan Gleason

About the Author:

Stefan Gleason is CEO of Money Metals Exchange, the company recently named "Best Overall Online Precious Metals Dealer" by Investopedia. A graduate of the University of Florida, Gleason is a seasoned business leader, investor, political strategist, and grassroots activist. Gleason has frequently appeared on national television networks such as CNN, FoxNews, and CNBC and in hundreds of publications such as the Wall Street Journal, TheStreet, and Seeking Alpha.