We have posted the most frequently asked questions from our members. If you have a question, please scan through the list. You may find others you hadn't thought of. If an answer isn't clear or your question isn't listed, we invite your response and additional questions.
Questions are grouped into four categories: General Information / Trading Questions / Market Timing System / Site-Specific Questions
Can I have the trading signal sent via text message?
Yes. Members can receive the GLD & SLV alerts by text message. To sign up, text the keyword GSS to 55444 from your mobile phone and follow the prompts. Standard message and data rates may apply; reply STOP at any time to cancel.
Can I change my email address or text-alert phone number?
Yes. Write to us at services@goldsilversystem.com and state your old and new email addresses and/or old and new phone numbers.
Can you tell me more about buying and selling ETFs?
ETFs can be flexible and easy to trade. Investors buy and sell them like shares, through a broker. Using ETFs, investors can also employ traditional share-trading techniques, including stop orders, limit orders and margin purchases (if available).
Can you provide a list of the leveraged and inverse gold and silver ETFs?
Leveraged and Inverse Gold ETFs
DGZ: DB Gold Short ETF is -1x
GLL: ProShares UltraShort Gold ETF is -2x
DGLD: VelocityShares Inverse Gold is -3x
DUST: Direxion Daily Gold Miners Bear Shares ETF is 2x
NUGT: Direxion Daily Gold Miners Bull Shares ETF is 2x
UGLD: VelocityShares Long Gold ETN is 3x
Leveraged and Inverse Silver ETFs
ZSL: ProShares UltraShort Silver ETF is -2x
DSLV: VelocityShares Inverse Silver is -3x
AGQ: ProShares Ultra Silver ETF is 2x
USLV: VelocityShares Long Silver ETN is 3x
Note: some leveraged/inverse ETNs listed above may no longer be actively traded. Verify availability with your broker.
Regarding the Wash Sale Rule, can I sell one ETF at a loss and buy another?
Selling one exchange-traded fund at a loss and buying a different one within 31 days will not trigger the wash-sale rule, provided they are different funds. Selling 100 shares of GLD at a loss and repurchasing another 100 shares of GLD within 30 days will trigger the rule, meaning the loss would be disallowed. (You can adjust the basis in the new shares to reflect the loss, effectively letting you claim it when you sell the replacement batch.)
How does the Wash Sale Rule differ for Canadian investors?
The wash-sale rule is a U.S. tax provision and applies only to persons paying U.S. taxes. In Canada, the Canada Revenue Agency has a similar rule called “superficial loss”, which works in a similar manner except that it applies for 30 days, not 31 as in the U.S.
Which online broker should I use to buy or sell a stock?
Search for “online brokers” and do a little research to find which firm is best suited to you. Commissions are reasonably low for most online brokers.
What is short selling?
Short selling means selling shares you've borrowed in hopes the price will fall. You borrow the shares from your broker and sell them; you pay interest on the borrowed shares but also earn interest on the proceeds. Sooner or later you must replace what you borrowed, but the hope is the price will fall so you can buy the shares back for less than you sold them for, pocketing the difference. Buying them back is called “buy-to-cover”.
Should we use a market or limit order?
This is your choice, and we encourage you to ask your financial professional. In general, always try to get the best price, but you may not want to miss the trade. A small price differential between a limit and market order is insignificant for the broad moves of the market. If you disagree with our timing or price, you may feel more comfortable placing a limit order.
Which ETF should I trade, and how much?
We believe in diversification. An investor should always attempt to minimize risk: never put all your eggs in one basket. We can't advise anyone on how much capital to trade; everyone has their own objectives and risk tolerance. We strongly encourage you to consult your financial professional.
When did your system go live?
We went live on July 25, 2012.
Are your trading signals independently verified?
Our performance returns are independently verified by Alpha Performance Verification Services, TimerTrac, and are constantly monitored by hundreds of members.
What is the purpose and objective of your timing system?
Our system is designed to outperform the buy-and-hold strategy over the long term. Our job is to stay focused on the broad moves of the market and not on day-to-day fluctuations. Please visit our track record. We feel it speaks for itself. We encourage you to thoroughly research any website that claims extraordinary results; a worthy phrase to remember is “if it sounds too good to be true, it probably is”. Our primary goal is to help our members move their money forward.
How are your timing signals produced?
Our service uses a combination of a mechanical system and a rules-based system. The indicators we created for the mechanical system are specific algorithm scripts, each having proprietary settings and parameters. The rules-based system has specific criteria that must be met for assigning the trading signals.
What do your trading strategies offer the investor and trader?
When should we expect to receive new signals?
Signals can be produced and released before, during, or after the market closes. About 20 trading signals are generated per year for each index (GLD & SLV). At the time of a new signal, members receive an immediate email and/or text alert, and can also visit the exclusive timing-signals page through the members login.
In what trading environment does your system perform well, and are there flaws?
Our system performs very well when markets are trending, up or down, on all time horizons. We estimate markets trend up or down about 75–80% of the time. The system does not perform as well on short-term horizons when markets whipsaw within a 5% range (topping patterns) or move sideways during consolidation. No system can produce profits consistently during these times, which we estimate at about 20–25% of the time; these are when our system is most vulnerable to small percentage losses.
Once a signal changes, what will I receive by email, and will there be an explanation?
At the moment a signal changes, members receive an immediate email with the latest updates for each ETF, including the ETF, price, and direction (buy long or sell short). As for an explanation: our market-timing system is 100% mechanical.
How do we use your trading system?
About 20 signals are generated per year for each ETF. Members receive an immediate email when a signal changes status, and can verify it on the timing-signals page through the members login. Members select the ETF (or both, for greater diversification) they want to trade. After placing your trade, you simply wait for the next email alert with a change in signal status.
As soon as I become a member, do I enter the trade immediately even if the price has already moved?
This is entirely up to you and your professional advisor. If the market has already moved significantly since our last signal, some members prefer to move to cash and wait for the next signal rather than enter late. The system itself is always positioned long or short.
Is investment news and other research data taken into consideration?
For the most part, no. We are always aware of the financial news, but it is not directly factored in. However, the mathematical equations used to derive the indicators and signals capture all data.
Who are your members?
Our members come from many countries. We believe they include professional investors, stockbrokers, money managers, financial planners, investment advisors, and individual investors, many of whom have tried other strategies and lost money, and are now looking for an honest, lower-risk method of investing.
What is the difference between a long and short signal?
A “long” signal means place a trade to buy (go long) the ETF. A “short” signal means short-sell the ETF. The system is always positioned one way or the other, long or short, so each new signal closes the prior position and opens the opposite one. Short-selling requires a margin account; if you’d rather not short, you can simply move to a cash position on a short signal and wait for the next long signal. That choice is always yours.
Does your company also trade the gold and silver ETFs?
We rarely trade ETFs. However, we do use our methodology to trade government retirement funds. We believe our system provides a lower-risk method of investing than trading any individual stock.
Can I join for a 6-month period instead of a year?
We currently do not offer a 6-month period. If we receive numerous requests, we may consider it in the future.
What is your privacy policy?
We are committed to protecting your privacy. This is explained in detail in the Policy section of our About Us page.
Do you offer any free trial periods?
We do not offer free trials. However, we offer a 30-day money-back guarantee: if the system is not right for you, we offer a 100% refund within 30 days of joining.
Will your company manage my account?
At this time we do not manage personal accounts for members, and probably will not in the future. However, we can direct you to a financial manager we respect, or you can maintain your account with an online broker.
After I become a member, is there confirmation?
Once authorization is approved, you will receive our confirmation email. You will then be able to log in and will be directed to our exclusive timing-signals page with the latest updates.
Who produces the trading signals?
The site is owned and operated by GoldSilverSystem.com, LLC. The trading signals are generated by a proprietary, rules-based / mechanical system developed by the company's founder, who has over 30 years of experience in technical analysis of the markets; the system, not any individual's day-to-day discretion, produces the signals. Performance results are independently verified by TimerTrac.
How can I contact you?
All correspondence is done through email. You can contact us at services@goldsilversystem.com.
Once I become a member, can I change my email address in the future?
Yes. Send an email to services@goldsilversystem.com and include your old and new email addresses.