Well, Blythe has apparently decided to put the kabosh on the PM rally for today. Looky here:
All is not lost, however, and this is not really too dramatic. I've checked with my sources, looking for rumors of margin increases etc. I can't find any. This looks simply like a pullback from today's highs. With little POMO today, all of the commodities have been challenged to find sustainable momentum.
Beans and wheat are both about $0.15 off their highs and crude, after approaching $90, is back under $89. Let's not get too nervous here. Besides, Blythe can still win a battle every now and then but she is
clearly losing the war.
With 45 minutes to go, gold is now off its lows at 1414 and silver is back to 29.70. Let's see how they close out the session on The Death Star before we pass judgment.
dollar is having a pretty good rally today as well, I was sure we would see it dive under 79 today. Oh well, I see these little pullbacks as keeping us from getting too overheated anyway. When we DO get a significant pullback, it shouldn't be as violent as the last. Supports are getting stronger it seems like. My 2 cents anyway lol
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ReplyDeleteAttack of the flying monkeys! They beat her down as good as they could!
ReplyDeleteThis day is rapidly approaching!
ReplyDeletehttp://www.youtube.com/watch?v=j7GJcKuVGm8&feature=related
lol :)
ReplyDeleteNewbie question: So when the comex closes at 1:30 eastern, does that mean Blythe and her gang are done for the day? Can't JPM trade on the Globex or Hong Kong or London? it seems to me an operation of that size would be able to do their mischief anytime day or night and it would be easier in markets with less liquidity.
ReplyDeleteI've been buying/selling gold and silver for years but I never really knew how the day to day markets worked. Reading this blog the last couple of weeks has been an education. Thanks TF.
Something like today had to come... Good job at pointing it out TF, Blyth need cough juice after shouting all those sell orders out today...
ReplyDeleteShe's in need of more than cough syrup right now. At 1:33 she's gettin' steam rolled again.
ReplyDeleteReally, really nice action into the DS close. Very constructive.
ReplyDeleteTomorrow will be a lot of fun.
It is almost encouraging to see how quickly we bounce back after these "takedowns". The EE is getting desparate. I keep thinking of that scene from Trading Places, where Eddie Murphy opines on the traders "getting nervous out there.. you can feel it... they're worrying if the can buy that Gi Joe with the Kung Fu grip for their kids for Christmas.. you can feel it"
ReplyDelete1:30 EST is critical for margin calls. The higher the price the more cash JP Morgue should have to put up to keep a position open. I said should...don't know if they do.
ReplyDeleteCNBS pumping silver the whole day is making me nervous lol.
ReplyDeleteThanks Jack. Considering that the sell off at noon had the look of desperation, I'd say they have to come up with the cash.
ReplyDeleteSpeaking of silver....
ReplyDeletehttp://www.youtube.com/watch?v=Sa2OpNTX9Ck
Harold: Jack is right. Another component is liquidity. On the afterhours Globex, liquidity and volume dry up so the bid/ask spreads typically widen quite a bit. This makes the market less efficient and thus limits the interest in placing big trades.
ReplyDeleteTake a look:
ReplyDeletehttp://www.youtube.com/watch?v=I0mhX9hpq3g
Urex: I like it!
ReplyDeleteLovely video, thank you Urex!
ReplyDeleteWe are witnessing history unfold before our very eyes. Fascinating.