Archives: 2008 September

In March of this year, the price of gold per ounce hit an all-time high of $1,030.80.

On August 15th, gold hit a nine-month low of $773.

That’s a correction of 25%!

In just one month alone – from July 15th to August 19th – gold has fallen 20%.

Now, that’s just downright scary! I know there’s a lot of gold investors out there that are probably wondering if the gold bull market is over. At this point, you’re probably fed up and are thinking seriously of dumping whatever hard assets you have.

I’m going to provide you with a little bit of historical gold trivia that I hope will reassure you.

So, take a deep breath. Relax. And keep reading.

It may be comforting to know that the last great gold bull market of the 1970’s was also interrupted by similar corrections.

1. In November of 1978, gold had a 20% correction.

2. In October 1979, gold lost 13% in four days!

3. Gold had a horrendous correction in 1975, falling 50% from $200 per ounce to $100 in 1976.

At that time, everyone proclaimed that the bull market in gold was over. As gold investors well know, the price of gold continued its climb over the course of the next few years, not stopping until it hit $850 in 1980.

Okay, I know what you are thinking.

That was then. This is now.

Ah, but even in the current bull market, gold has had corrections similar to what we are experiencing now.

1. In the summer of 2006, gold fell 21%.

2. But by the end of 2007, gold had risen 45%.

The point I’m trying to make is that corrections, painful as they are, are normal in bull markets.

Now that we’ve taken a hard look at the statistics, we need to determine if the fundamentals for buying gold bullion are still intact.

Let’s go back to March when gold had climbed over $1000 an ounce.

You were pretty excited, huh?

Now, ask yourself: what was causing the price of gold to rise?

1. Inflation was on the rise

2. The dollar had long-term problems

3. Banks were failing

4. Mortgage lenders were facing insolvency

5. Housing prices were falling

6. The economy was on the brink of recession

7. Oil faced a long-term supply shortage

Okay, now ask yourself: have any of the 7 elements listed above changed? Think about it. If the gold bull market were over, we’d have:

1. Low inflation

2. Healthy banks

3. Stable housing prices

4. A new, major oil discovery

5. Increasing job creation

6. A falling unemployment rate

7. A fiscally responsible government

8. A strong dollar due to a balanced budget and a shrinking deficit

Stock a trading is considered to be controversial by some people. Day trading provides a lot of fast-paced action for those who wish to trade in that manner.

So exactly what is day trading and why should one be cautious when involved in day trading. Day trading simply means buying and selling a financial instrument, all within one day. This simply means that a transaction is completed during market hours.

Not every stock is suitable for Stock Day trading. Stocks with sufficient volatility and volume are considered by some to be more desirable for day trading.

One popular criteria in volume has been that the stock must trade at least 500,000 shares daily. Another popular criteria is that the stock must have at least a range of two dollars during the day.

With regard to volatility, a daytrader may look for stocks that at least have a fluctuation of two dollars or more per day. Stocks for Day trading may also be chosen based upon volume, and the stock daytrader may look for stocks that trade at least 500,000 shares per day.

Some have thought that day trading was actually something which was unethical or illegal. But this couldn’t be further from the truth. Day trading has simply come under the scrutiny of the SEC, because it can be risky…couple that with the fact that there are so many advertisements out there for day trading get rich quick schemes that are very misleading. Some are simply flat-out false.

It should go without saying, that you should absolutely only use risk capital when day trading. Using money that was meant for another purpose or that would affect your lifestyle if you lost it is almost a certain recipe for disaster in day trading. You’ve probably heard the expression “scared money never wins”. This simply means that trading with money that you can not afford to lose most certainly increases the chance that you will lose it.

Day trading can be very exciting and very profitable. Before you become involved in day trading prepare yourself to become successful. It’ll be important that you take your time and do not dive if headfirst into the arena of day trading without the proper preparation.

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The best way to make sure that you have a direct personal water supply after you buy New Mexico land may be to dig a well on your property. If you have been concerned about purchasing land for sale in New Mexico, but have always wanted to buy, educate yourself on how to build a well on your property. There are some things you will need to have on hand ahead of time so you may need to make some purchases as far as tools go.

When you purchase New Mexico land and you wish to dig a water well, you’ll need some supplies to make sure the task is done properly. Either stones or brick can be used to line the walls and the bottom of the well to prevent collapse when digging your well. You will need a pick and shovel to dig the hole for the well. Having a rope and a sturdy bucket to use for clearing the well of dirt and any debris that you will discovered underground is a useful . A ladder will also be needed when adding the bricks and mortar. Mortar is needed to keep the brick or stones in place.

Keep in mind where you will be able to place your water well when you purchase New Mexico land for sale. The water well should be placed 100 feet away from the water source. Besides, its important to dig your spot for the well 100 feet away from any and all possible contaminants. Contaminants will include storage receptacles, landfills and things like home septic systems. If you do have contaminants to work around you will need to be able to place your water well uphill from any potentially dangerous elements.

When you are ready to dig the well you will start by marking off the size of the well opening. The well opening should be about five feet across and circular. While one person digs the well, another person should stay aboveground to supervise the proceedings and to help pull up the dirt and store it for disposal. The person digging should pay close attention to the walls of the well to avoid cave-ins. It may be necessary to dig out the walls a bit further than anticipated to avoid crumbling.

There are fairly clear-cut steps to digging a well. If you have equipment like a windlass or something similar to lift out dirt unaided, the process will go more quickly. In addition to removing dirt, the rope and bucket or other lifting equipment can also be used to deliver rocks or mortar to the bottom of the well. The well should be at least six feet deep.

Six inches of rocks should be laid across the bottom of the well to act as a filter. Place bricks firmly along the walls of the well and use mortar to keep them in place. Continue to lay bricks and mortar for another 18 inches to two feet above the well opening. Install the well pump and use a cement cover to protect the well opening.