Are you trying to speculate if this is the right time for purchasing gold and silver? The trend shows, people usually try to invest in gold and silver when the rates gradually increase. However, the best time to purchase gold and silver is when the rates stop dropping and reaches a stable point.

In order to help investors assume the right time, a market asymmetry is available. Obviously, it is convenient to purchase gold and silver while the price is going down rather than selling them while the price is rising high. As per the Forbes report, this is because the bottom of many markets is when no one pays much attention to trade while the top is when everyone is whipping around.

The experienced investors know how to balance the proper timing to make some wise investment in the fluctuating gold and silver market. While the top market position is good for fast pacing market, the bottom will be a slow pacing one.

People might need to hang around a little before investing in slow pacing market and expecting a rise. However, investors do not generally have to wait for a long time to experience the flip in the fast market.

Investors of precious metals are quite different from others as the precious metals are considered as insurance. Therefore, if you hold them for too long, it might have a negative impact on their investment. As per the CNBC news, "Gold's negative correlation with the dollar is likely to continue because of the expectations of the U.S. interest rates," stated ETF Securities Martin Arnold.

Due to the fluctuation in the precious metal market along with all over fluctuating fiscal condition, people are hesitating whether to invest in gold and silver anymore or not. Last Friday, SPDR Gold Trust, the top gold-backed exchange-traded funding trust of the world, has experienced sudden fall in their assets. The figure has been recorded as lowest since September 2008.

Not only gold and silver, platinum and palladium have lost their value too in recent months. However, as per market experts, long-term investors should not shun the precious metals even if the markets are down nowadays.

According to the Profit Confidential research, we must remember three important factors: demand for silver is strong, the supply of silver is contracting, and silver is desperately out of favor with investors- the perfect catalyst for higher silver prices in future.

All investors just need to do is keep the basic of supply and demand theory in mind while investing in precious metals. This theory never fails. If you observe gold and silver market in such perspective, it can give you a hint that precious metals could be setting up for a considerable price jump.