Quote:
Originally Posted by CaliforniaLiberal
Please explain how DCA works to your advantage while riding the price of Gold from $1800 down to $1200.
Dollar Cost Averaging is a Myth perpetrated by those who make a living from commissions on your multitude of periodic transactions.
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You sound like sour grapes. I wouldn't buy gold when it was $1,800's, thought it risky. I began this time after the first lows rebound $1,180 and actually purchased as high as $1,425. My average is below todays price and dealers will always expect the vig, just like I expect to get paid for my work.
But what goes down, like Gold, usually goes back up, so an average price of say $1,400 under your scenario is better than $1,800 if your a long term holder. See you can buy more when it's cheap with discretionary income, so you do if your into Gold. It didn't stay at $1,900 long so if you shot all your wad there....bummer for you.