Pure Essence: What happened?

[magekillr]

i agree with monte about a new form of merchanting

 

 

 

Technically it's not a form of merchanting, but speculating / investing.

 

 

 

if you wanna get technical about it :twisted:

 

 

 

but you can still buy in the median region and re-sell in the high region for a lot of items if you have the patience...and knowing that the GE takes "places in line" and knowing the average times that it updates (around 9 am to 2 pm eastern...sometimes on rare occasion 5 pm), you can get first in line before anyone else.

 

 

 

let's say a pure essence is at max price of 135 each and EVERYONE is paying 135 for it. being the first one to be there when the price changes and you put in for 5 million essence at 136 each...you'll obviously get precedence before people who failed to update their GE in time. knowing that one principle is quite useful...event though it sounds so basic and like "common" knowledge. people called my staking tips common knowledge after i released them (after the duel arena was killed), yet i never saw them doing the same and guaranteeing themselves billions as i did.

 

 

 

now let's look @ an item that has a range and is buyable for all prices...like runes. chaos runes were possible to purchase for 105 each fairly easily, if you put in at a good time. they were also easy to sell for the max price to people who don't have the patience to wait and need them ASAP. they'd put in for a much higher price and get them right away. so then this brings back old fashioned traditional merchanting. taking a fairly stable item that will move slightly up/down depending on the time of demand...but overall stay straight course (gold ore is a good example).

 

 

 

btw, if anyone wants to know an item that's sky rocketing you should look @ cosmic runes...they're making me 20M daily :P

[Captainkidd]

It might be because of the "new" rune that we might see, people are just gobbling up the essence (just in case)

 

 

 

Also with all the autoers gone theres not really anyone to mine it, in mass amounts, so the prices goes up.

[Solidus_77]

 

Economic ignorance by most RS players? A tad harsh, and untrue.

 

 

You're right -- events of the last few weeks indicate that I really should have said "nearly all".

 

 

 

Man, your smugness is just disgusting sometimes.

 

 

 

When I imagine the "vast economic knowledge of RS players" I think of the countless idiots who prove inflation by showing a decrease in price of a totally arbitrary good :roll: . I've only seen one supply/demand diagram drawn and it was horribly labeled and had no consistent logic.

 

 

 

Qeltar has the right to be arrogant when speaking about the pathetic because he has demonstrated that he actually knows what the hell he is talking about unlike the impressive ignorance that has always been the pride of the RSOF.

 

 

 

And rcers; don't complain that you 'only' make a ~100gp profit per ess now, most skills lose money.

 

 

 

Oh man I just love that logic. So we lose money in cooking because training the skill is easier than falling off a log therefore it's only fair that every other skill loses money. :roll:

[Poddy295]

Duh. Macros can no longer RWT well, which means they have no further use on RS. They mined most of the pure ess.

[zeldaot]

i agree with monte about a new form of merchanting

 

 

 

Technically it's not a form of merchanting, but speculating / investing.

 

 

 

if you wanna get technical about it :twisted:

 

 

 

but you can still buy in the median region and re-sell in the high region for a lot of items if you have the patience...and knowing that the GE takes "places in line" and knowing the average times that it updates (around 9 am to 2 pm eastern...sometimes on rare occasion 5 pm), you can get first in line before anyone else.

 

 

 

let's say a pure essence is at max price of 135 each and EVERYONE is paying 135 for it. being the first one to be there when the price changes and you put in for 5 million essence at 136 each...you'll obviously get precedence before people who failed to update their GE in time. knowing that one principle is quite useful...event though it sounds so basic and like "common" knowledge. people called my staking tips common knowledge after i released them (after the duel arena was killed), yet i never saw them doing the same and guaranteeing themselves billions as i did.

 

 

 

now let's look @ an item that has a range and is buyable for all prices...like runes. chaos runes were possible to purchase for 105 each fairly easily, if you put in at a good time. they were also easy to sell for the max price to people who don't have the patience to wait and need them ASAP. they'd put in for a much higher price and get them right away. so then this brings back old fashioned traditional merchanting. taking a fairly stable item that will move slightly up/down depending on the time of demand...but overall stay straight course (gold ore is a good example).

 

 

 

btw, if anyone wants to know an item that's sky rocketing you should look @ cosmic runes...they're making me 20M daily :P

 

 

 

This guy knows what he's talking about.

 

 

 

Understanding how the GE system works is what will make you millions - not looking at some graphs and jumping on a speculation bandwagon. You may make a couple of gp but in likelihood your chances of getting burnt are much more.

 

 

 

I made 150m this week and it wasn't from merchanting pure ess, marrentill or ashes.. :P

[Duke_Freedom]

...I think these two paragraphs contradict each other. The second one is essentially what I am trying to get across; that the price controls substantially curtail volume. I do not see how you can argue that a dysfunctional market with most people standing on the sidelines would not result in greater price swings than one with lots of active participants. It is well known in market theory that volatility is inversely proportional to transaction volume.

 

 

 

I believe that theory goes for quite idealized unrestricted markets though. I also think the price limitation we have here essentially prevents the increased volatility to occur. Besides, when I said "trading volume is likely to plumment" I did mean that those transactions that don't take place are probably post-poned to later, they don't just vanish.

 

 

 

Furthermore, it is important to note that the GE system basically "delays" the price increase and spreads it out over the course of many days... I think you can agree that this will better allow people to react on the higher prices, in opposite to a situation where pure essence would have [bleep]ed up 100% within one day.

 

 

 

There are other things that make it much more complex though. Liquidity with the GE would be a huge issue without the price restriction too, because of the 2 for f2p and 6 for p2p limitation on orders. Plus, the lack of transparency and inability to observe the highest bid and lowest sell orders would probably be rather desastrous and significantly increase volatility in an unrestricted GE market too...

[anonymouse_]

We all know it will crash soon, so just wait a few days and buy huge amounts then. Look at what happened to ashes :lol:

[Duke_Freedom]

if you wanna get technical about it :twisted:

 

 

 

:P

 

 

 

Yeah, 'normal' merchanting is obviously still possible too and probably the best with more "stable" items like you mentioned. Though I can imagine that the richer peeps are probably best off spending most of their time looking for undervaluated items and price trends. And indeed, there are many tricks with the GE that are vital to know, no matter how basic they may be. Knowledge of a trading system/environment already gets you halfway to the fortunes. :D

[magekillr]

i agree with monte about a new form of merchanting

 

 

 

Technically it's not a form of merchanting, but speculating / investing.

 

 

 

if you wanna get technical about it :twisted:

 

 

 

but you can still buy in the median region and re-sell in the high region for a lot of items if you have the patience...and knowing that the GE takes "places in line" and knowing the average times that it updates (around 9 am to 2 pm eastern...sometimes on rare occasion 5 pm), you can get first in line before anyone else.

 

 

 

let's say a pure essence is at max price of 135 each and EVERYONE is paying 135 for it. being the first one to be there when the price changes and you put in for 5 million essence at 136 each...you'll obviously get precedence before people who failed to update their GE in time. knowing that one principle is quite useful...event though it sounds so basic and like "common" knowledge. people called my staking tips common knowledge after i released them (after the duel arena was killed), yet i never saw them doing the same and guaranteeing themselves billions as i did.

 

 

 

now let's look @ an item that has a range and is buyable for all prices...like runes. chaos runes were possible to purchase for 105 each fairly easily, if you put in at a good time. they were also easy to sell for the max price to people who don't have the patience to wait and need them ASAP. they'd put in for a much higher price and get them right away. so then this brings back old fashioned traditional merchanting. taking a fairly stable item that will move slightly up/down depending on the time of demand...but overall stay straight course (gold ore is a good example).

 

 

 

btw, if anyone wants to know an item that's sky rocketing you should look @ cosmic runes...they're making me 20M daily :P

 

 

 

This guy knows what he's talking about.

 

 

 

Understanding how the GE system works is what will make you millions - not looking at some graphs and jumping on a speculation bandwagon. You may make a couple of gp but in likelihood your chances of getting burnt are much more.

 

 

 

I made 150m this week and it wasn't from merchanting pure ess, marrentill or ashes.. :P

 

 

 

EXACTLY!

 

 

 

people on my clan forum private message me all the time to know "what items" i'm doing so they can follow suit...i feel like Warren Buffet :XD: . a select few i tell what item i'm following because ultimately it will warrant the best profit...but for the most part it is not about "what item is best"...it's just knowing the operations of the Grand Exchange that is the most valuable :-w

 

 

 

i still never understood why people called merchanting "dead" with the grand exchange release when a 10% margin on any item is HUGE!

[Ravenkana]

 

And rcers; don't complain that you 'only' make a ~100gp profit per ess now, most skills lose money.

 

 

 

Oh man I just love that logic. So we lose money in cooking because training the skill is easier than falling off a log therefore it's only fair that every other skill loses money. :roll:

Ya. But since most skills lose money, and the High Alch has gotten the Nerf, doesn't this mean that general wealth is going down?

 

 

 

Personally I believe that the price roller coasters are not that bad; the worst is yet to come. In properous times, due to the price ceilings, goods will not achieve there proper heights. In times when a huge money drain has been released the price floors will prevent items from becoming purchasable. Summoning anyone?

[Katiegirl19]

Id say its a combo of both things you said.

 

One is truth(bots)

 

One wont happen(life rune)

 

 

 

Summoning will, in no way, be related to magic. The life rune was never released, nor is planned to.

 

 

 

However, now is the time to mine p ess =p

 

 

 

Normal market fluctuation in short, lengthened by Grand Exchange restrictions.

 

 

 

Edit: Read a post above, see merching isnt dead, yay! Lol, more honest now id have to say, more like usual marketing.

 

It is kinda like the stock market isnt it? Sadly, I wish I would've seen the d bow price drop, and the whip increase.. could've had about 1.5m more gp atm =p

 

 

 

I dunno about summoning in terms on effect on items, I doubt eggs will ever be on the ge, being a low lvl summon item most likely.(chicken eggs btw)

 

 

 

tortise shell hoarding anyone?

 

 

 

lol.