Saw the queues to buy gold last week?
Somehow, i relate it to a trading order book (second column in the picture) where sellers line up to sell, buyers line up to buy, and the order of the queue is set by the prices they place.
The lower your sell price, the faster it’s likely to be sold.
The higher your buy bid, the quicker you’ll get it, ahead of everyone else.
But here’s the real question:
If the shop knows gold trading better than we do… Why are they selling it to everyone in line?
Shouldn’t they be like those high-end luxury shops – where everything is sold out, with nothing to sell but everything to show?
Most likely, they bought cheap long ago, and now it’s time to cash out.
While waiting in the queue, prices still move. So Number 1 probably paid less than Number 100, just by being earlier.
When it’s finally your turn, this is the current price for this amount… You decide: “Buy or Bye?”
While holding physical gold feels safer than stocks or crypto, remember – it’s also harder to sell. When prices plunge, you might still be holding your shiny bar waiting in the queue.
Imagine if the shop had an order book system, everyone placed their bids, and the highest buyers and cheapest sellers get served first.
Just timing, trust, and transaction.
No crowd, no frustration, but also no FOMO pushing the sale. 😜
P.S. When everyone is rushing to buy, who will be the one losing money to the winners?