Tuesday, November 17, 2009

Speculation

Patch 3.3 is coming up and there is a lot of speculation as to what to stockpile and what to dump. My personal prediction is that you should buy Infinite Dust, but as far as predictions go, it's a lousy one, so I won't provide an explanation or recommend it to anyone. Other bloggers have written some pretty good analysis of patch notes. I am going to talk about specific items, but about speculation in general.

Let's assume bananas are going to cost more because of some change next patch. But the information is for free everywhere, and considering the number of people reading gold blogs these days, speculation shifts from predicting the demand for bananas next patch, to 'How many people are stockpiling them on my server".
Patch 3.3 comes out very soon, so if you've been stockpiling an item, but you see a price spike on the AH, then you're probably not the only one, and on patch day, the price of the item is actually going to go down instead of rising. Here you have two options:
1. Start selling the items you decided to stockpile before patch, let your competitors take the risk after patch.
2. Buy even more of the item to create panic buying. This second option is very risky, but high risks have high rewards. If your competitors are noticing that you're buying up a lot they might join in, spiking the prices even higher. That's when you sell.

4 comments:

  1. Are you sure that's a good idea? With the disenchanting change dumping even more mats onto the AH than now, the already-saturated dust market will have nowhere to go but down.

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  2. Did you read the part where where I'm not recommending buying dust to anyone and that it's a lousy prediction?

    Either way. I'm buying another 250 stacks of infinite dust(for a total of 750 stacks) and I'll write about why I thought it was a good idea after the patch.

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  3. Was thinking about this too. Infinite dust will become way harder to be "produced" , since the saronite ore will increase in price, due to the titanium transmute change. So the saronite shuffle might become obsolete. With this in mind, seems to be a winning strategy to have a healthy stock of infinite dust for the first part of the new content. Because the demand for enchants (hence dust) will be so high (3 new heroics and double the new gear compared to the last patch) that even a saronite shuffle could not keep up. Plus I'm not so worried about the new disenchant function in instances. That was never an issue to be considered a serious supply of enchanting materials. Infinite dust equals enchants, imbued netherweave and prismatic gem. Even if the price of saronite ore may not rise so high, and it would still permit a saronite shuffle, on the other hand we might see a rise in price of the eternal earth and shadow at some point. Because of the new ammo being introduced. Still, if these prices of eternal would not go so high, and the shuffle would still be possible, the amount of work involved to craft/de compared to the profit or gold/hour I suspect will be slim enough to make it not worth doing it. So, as far as I see it, on the paper, the infinite dust looks like a good candidate to make a stock of it. Will depend on how the market and farmers react on each server.

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  4. I guess this prediction did not really work out, did it? Infinite dust has been getting cheaper and cheaper on my realm, I suppose we can probably blame the popularity of the new dungeon finder & the new disenchant feature. More dungeon runs + lots of greens getting disenchanted by the original looter that otherwise would not be.

    Saronite ore didn't really get any more expensive either, only borean leather has risen in price is what I'm seeing.

    Thanks for the great blog by the way, hope to see more about enchanting scrolls soon. :)

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