A Good Day For Gold
DriftingByTheStorm
Posts: 8,684
PRECIOUS-Gold rises 1 pct on Greece rescue deal optimism
... after a dark period of soul searching, gold (and silver) found their bottoms ... looked upside down & confused on the charts still and continued to meander.
Today *could* be the day that sees global eco-political reality return to the metals markets.
I wonder what the positive momentum in metals will be countered with this time around? Another handful of "good" days for gold = $1900 and then $2000 in a hurry ... "The Man" will surely want to put the brakes on that for more than a few good reasons.
Metals moving back to record highs puts some really uncomfortable pressure on the exchanges themselves.
If you want a VERY graphic understanding of what the "sure bet in metals" mentality is doing to the Market MAKERS ... THIS is how much silver the COMEX has on hand to meet deliverable silver contracts as people start going "i won my bet, i would like to trade me ticket for me silver please, sir..."
(image from this article which projects a COMEX silver default projected to Jan-Aug 2012, depending on the metric used)
The point of this is to say that metals going up may put such unbearable systemic pressure on "the man", that the man will probably just "change the rules" again like it did by moving the margin percentage up seven times in 5 days running back in the middle of 2011 ... causing an *immediate* (and *deviously calculated*) "flash-crash"
... so who knows if todays up will be tomorrows down or not,
but food for thought.
... after a dark period of soul searching, gold (and silver) found their bottoms ... looked upside down & confused on the charts still and continued to meander.
Today *could* be the day that sees global eco-political reality return to the metals markets.
"If the deal falls apart, the ECB is going to be even more
aggressive in monetizing things and create credit to insulate
the banking system from a disorganized default," said James
Dailey, portfolio manager of the TEAM Asset Strategy Fund.
"It's basically a win-win for gold at this point," he said.
I wonder what the positive momentum in metals will be countered with this time around? Another handful of "good" days for gold = $1900 and then $2000 in a hurry ... "The Man" will surely want to put the brakes on that for more than a few good reasons.
Metals moving back to record highs puts some really uncomfortable pressure on the exchanges themselves.
If you want a VERY graphic understanding of what the "sure bet in metals" mentality is doing to the Market MAKERS ... THIS is how much silver the COMEX has on hand to meet deliverable silver contracts as people start going "i won my bet, i would like to trade me ticket for me silver please, sir..."
(image from this article which projects a COMEX silver default projected to Jan-Aug 2012, depending on the metric used)
The point of this is to say that metals going up may put such unbearable systemic pressure on "the man", that the man will probably just "change the rules" again like it did by moving the margin percentage up seven times in 5 days running back in the middle of 2011 ... causing an *immediate* (and *deviously calculated*) "flash-crash"
... so who knows if todays up will be tomorrows down or not,
but food for thought.
If I was to smile and I held out my hand
If I opened it now would you not understand?
If I opened it now would you not understand?
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