OK, so maybe, if you happen to run into an old friend at the mall when you weren't planning on going to the mall that day...thats a coincidence. In the heavily manipulated PM "markets, there are no coincidences. Do not think, for even a minute, that events happen by chance and are unrelated. Only the naive or uneducated believe this. Hang around here long enough and, hopefully, you will soon be neither.
Yesterday, just as the daily update was released that there were still 717 March silver contracts that needed to be served and delivered by the close of business Monday, the CME leaks word that a margin hike in silver is coming. Silver immediately collapses away from the $38 level and eventually bottoms at 36.80 after the actual press release hits the wires.
Today, silver had rallied back to within 30 cents of its highs from yesterday. The potentially devastating effects of the margin hike had been muted. The margin hikes, in fact, had not even remotely affected the long-term appetite for physical silver. "OH NO", thought tptb. Then, to compound their problem, the latest update from the CME showed that the Comex had only been able to settle a measly 85 contracts yesterday. They still have 632 left to serve today and Monday. That's 3,160,000 ounces of silver!!!
So they fell back upon another of their tried and true tactics: Roll out a worthless shill Keynesian Fed governor hack and have him make some hawkish monetary policy statements.
(Please review this for a simple explanation of why QE will never end.)
Again, in the past, this would have started some wholesale liquidation of longs and price would plummet. Especially on a Friday! Maybe some March longs would give up and go away, they hoped. Well, price fell alright, just like you'd expect. But then, miraculously, the buyers picked themselves off the mat, determined a price at which they would be comfortable buying (36.90), and bought. Price has since rebounded.
As I type, price has rebounded even higher. I have a last in silver of $37.19 and gold is $1428.
Absolutely, 100% freaking beautiful. I could not be more happy and excited by today's action. We've taken a full assault from the Fed/EE complex and we are still standing. Price is well above their dreaded $36 level and they are running out of dirty tricks. HAHAHAHAHAHA!
Relax. Be happy, Enjoy your Friday and your weekend. Get ready for a great, crazy and wild week beginning Monday. TF