The Death and Life of Truegold

Posted by J.E. Douglas at 4:20 PM

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The alchemist dream all through the Cataclysm expansion was the Truegold transmutation.   Processing three volatiles ([Volatile Fire] [Volatile Air] and [Volatile Water]) could create mini fortunes for players. This was one of the most in demand crafted item during Cataclysm.

Fast forward to today and the lull between the Cataclysm expansion and the introduction of Mists of Pandaria.  Truegold demand is down,  as well as the profit margins in the material.  If you read the article I posted called Tipping Point I discussed the switch between production of Truegold and crafting volatiles.   All of this was dependent on your server and crafting demands.

A reader of the journal brought up an interesting point to me.  They had decided to start to collect Truegold for the MOP expansion.  Being honest I read his explanation and found that I had made a judgement error.   Interesting enough he used the same logic that I had to collect materials for another item during Mists of Pandaria.

In another article I discussed 5 things that an engineer should be selling.   One of the big money making items was the Mechano-Hog.   A new batch of players wanting cool and interesting mounts,  and whats better than a Motorcycle.  Well the reader brought up that there was one more ultra cool mount that might be in demand.  Vial of the Sands is the mount that turns a player into a two seated dragon.  This was in high demand during the Cataclysm expansion,  but at an ultra high cost.  Most servers had these at 41k plus,  or even higher.   With the rarity of the pattern on many servers (grinding out 525 archaeology and the right pattern from Uldum deterred many players from obtaining this).

So this brings us to an interesting dilemma.   Is there a 3rd tipping point between production of Truegold for quick profit sales  Production of Volatile Water or Volatile Air,  or collect Truegold for resell during Mists of Pandaria.   It was a very interesting theory that the reader had created.  So lets do a little math.

(all numbers provided by Theunderminejournal.com)

Truegold (median) = 332g


Volatile Life = 4.5g
Volatile Air (median) = 11g
Volatile Water (median) = 7g
Volatile Fire (median) = 6g
Pyrium Bar (median)  = 8g



To currently craft a piece of truegold it will cost you

Volatile Air x 10
Volatile Water x 10
Volatile Fire x 10
Pyrium Bar x 3

====================================

Total of 264g 

Selling at 332g

Profit margin of 68g

Now take 15 Volatile Life at 4.5g (67.50)

Transmuting 

15 Volatile Air (teleporting to Uldum)

15 x 11g = 165g 

165g - 67.50 = 97.50g profit

(yes,  I realize that you can proc a second set of elements.  This is the low side profit if there is not a 2nd set given)

15 Volatile Water (teleporting to Vashjir)

15 x 7g = 95g

95g - 67.50 = 27.50g profit

Now these are numbers for the current cycle between the Cataclysm expansion and Mists of Pandaria.  They will change once MOP is released and there is an upswing of demand for these volatiles.  Right now would be a wise idea to change your transmute to Volatile Air to save towards Mists of Pandaria profit taking.

Now a second option would be to start buying Truegold and if the materials are inexpensive 

and continue to use your Truegold timer.   Much of this depends on your current cost of materials, and also the selling point of your server.  These investment opportunities give you multiple variations for a long term investment for your Mists of Pandaria gold making project.  

Good Luck and Good Hunting

Time vs Gold Investment
Return to your Essence
Harmony - We Don't Need Harmony
MOP Prep:  Get to the Points

MOP Prep:  Reduction in Inventory

MOP Prep: Stuff to Gold,  Gold to Stuff

MOP Prep: Setting the Lineup

MOP Prep: Setting up the Cartel

MOP Prep:   Zero Balance Investment
Jewelcrafting dailies or something
Its All Attitude

It's the Little Things

The Doh Club

Psychology of Selling

It's elemental dear goblins

Posted by J.E. Douglas at 7:00 AM

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When someone starts discussing elementals and investment my ears tend to perk up.  My gold wallet also tends to get a little twitchy.   It's one of those areas that you can gain a lot of gold quickly,  or lose that awesome pink shirt you have on your banker character.

Each of the expansions introduced a new version of elemental classes to use and invest in.   With Burning Crusade came the primals (and it's smaller little cousins motes).   With Wrath of the Lich King entered Eternals, (and it's baby brother the crystallized pieces).   And with Cataclysm we received a whole new investment kick in the pants with Volatiles.

So the basic tenants of investment for all three will be what will people want.   Crafters will be our main target (though don't forget your tailors and alchemists who will use them for their transmutes).  So lets walk down the list to see what we want,  and what we don't want in our banks.

Primals 

(Primal Earth,  Primal Air,  Primal Fire,  Primal Mana, Primal Life, Primal Shadow, Primal Water )

These were from the elementals and mining during Burning Crusade.   The two biggest that will be in demand are the Primal Air and Primal Fire.    Professions will want them for leveling (engineers need them for their swank Flying Machine and Turbo-Charged Flying Machine.    Primal Earths and Primal Shadows are relatively easy to farm in Negrand (Elemental Plateau will be your target for most of your primals,  with the area around Oshu'gun being your farming spot for Primal Shadow.   Your best idea is to keep an eye on the pricing on the AH for both the full primals and the motes and purchase accordingly.   

If you have an Alchemist who can transmute Primal Might,  save your primal stock for Primal Might transmutes.  More information on this on my post here.

A good goal is to sink about 1 to 2% of your investment money into this product.

Eternals

(Eternal Water, Eternal Air, Eternal Earth, Eternal Life, Eternal Shadow, Eternal Fire)

The "newer" the expansion you have,  the more difficult it will be to figure out investment possibilities. All of the Eternals (and their little brothers the crystallized elements ) are good investments if you get them inexpensive.  Eternal Fires have became extremely expensive. There is a high demand for not just crafting items using Eternal Fires,  but the Mechano-hog demand makes them highly rewarding investments.   Doing some farming time in Wintergrasp will give you access to all of the crystallized elements.   

A good goal is to sink about 3-4% of your investment capital into this area.

Volatiles 

(Volatile Fire,  Volatile Water,  Volatile Earth,  Volatile Air,  Volatile Life)

When the warcraft producers named these,  they weren't kidding.  This market has always been a short order day traders dream.   Many days I bought Volatile airs at 15g and sold them that same hour for 25g per.   Even with Alchamists being able to transmute their own,  certain of the volatiles always seemed to be expensive and in demand.  Volatile Air always was expensive and tended to be the most popular one transmuted.   Volatile Water also seemed to be continually in demand (healing PVP gear added to a lot of the consumption).  A buyer right now can still find good bargains (Volatile Earth for 50s a piece?)  If your a tailor and not burning your Dreamcloth Timer still with these cheap volatiles.  I have two recipes that you will want to be crafting through MOP.  

Luxurious Silk Gem Bag requiring 3 Dreamcloth

Illusionary Bag requiring 8 Dreamcloth

Both of these bags will be in high demand from players who are looking for added pack space.

Starting to acquire Volatile's for a long term inexpensive investment is a wise choice.  Volatile Earth and Volatile Life will give you many options to work with in the coming weeks.

2-3% of your investment capital should be sunk into this area,  especially in Volatile Fire and Volatile Air if you can find them inexpensively (or farm them yourself)

Investment by the numbers

For my personal investment,  around 8-9% of my investment gold is going to be sunk in Elemental Investments (I'm also including elementals such as Core of Earth and Essence of Fire).

With the amount of "new" players entering the game,  you will have people wanting bags to fill in the slots for their new characters.  Some of these will be profession bags.

Farming the AH for materials is going to be the easiest way to increase your stock,  and be prepared for the demand of Mists.   If your not prepared, well that result will be elementary as well.

Good Luck and Good Hunting

Want to get in contact with me? . Email me at Dragonbearjoe @ gmail. dOT com or find me on twitter at "@Dragonbearjoe" or leave a comment here. You can find me hanging out on the Shandris Server, chat me up and I will buy you a glass of juice.  

Past Entries


Four words to rock your head (enchants)
Trade Channel Boredom, bring on the dailies
Preview of upcoming events
Gold to burn
I'm gonna tell you a secret
Life with no AH
Yakity Yak
The Auction House Blues
O Brother Where Art thy professions
Come Back Players... Come Back
Measuring the AH of a "Wow Killer"
Gold: It makes a player better
Get thee to an Engineer
Darkmoon Faire Returns....  Much rejoicing
Prepping for MOP:   Dinner Improbable
Random Dungeons:  A Concert of Errors
Patterns
Save the children.. Save Azeroth

Grey,  the new purple

Have you posted epics today?

Netherweave Cloth: It's math time