No need to listen to the “experts” to understand the ins and outs of commodities markets, according to Bob Moriarty of 321Gold. If investors use common sense and basic tools available online, they too can be successful.
A century ago when I was in high school, one of my teachers wanted to teach us the basics of logic. The teacher began with the simple equation of if A = B and B = C, does A = C? Of course, the majority of the class picked the most obvious answer.
But what happens when the apparent answer is not the correct answer? What if the obvious is dead wrong?
Here is the proof. If an airplane is transportation and a train is transportation, is an airplane the same as a train? Now the correct answer is both apparent and obvious. No. A train and an airplane are both transportation but they are not the same.
As investors, why is this important for us to know? I answer that in my new best-selling Amazon book, “Nobody Knows Anything.” Any ordinary person using nothing more than common sense and what they already know or can easily obtain can learn to make profitable decisions if only they learn to ignore the experts, the gurus and other fools.
For example, if you knew that silver had climbed from $4.01/ ounce ($4.01/oz) in November 2001 to $49/oz and change in April 2011. Using nothing but your own common sense you could reasonably conclude that silver was cheap in 2001 relative to silver in 2011. And that it was expensive in 2011 relative to what it had been in 2001.
You didn’t need to know anything else to make an intelligent decision. If you did nothing more than buy silver when it was cheap and sell it when it got …read more