Today is options expiration at the COMEX and too many longs could have cashed in if gold was left over $1,200 and silver over $17.
The ferocity of the early a.m. take-down before the London open is a classic cartel maneuver.
*Intraday Alert for Cartel Smack-down*
This morning, the entire precious metals complex was racing to the upside. It’s now just past 1pm Eastern Standard Time. Gold and silver continue to hold their own, but the entire rally in the mining shares has evaporated. This speaks to only a few possible dynamics.
After watching cartel patterns for over a decade now, I can say without any doubt that the mining shares are often used as a signal for a raid on paper bullion trading over on the COMEX or in London within the following 24 hour period.
Are the signalling an imminent raid in gold and silver?
Moments ago gold was treated to a $15 waterfall decline, smashing it back towards $1550 support. Astonishingly, the cartel monkeys appear to have forgotten to include silver in the attack.
Perhaps the operation is to simply target gold in the wake of the announcement that 10 tons of gold will be freed from the Cypriots in exchange for a few weeks of euros?
After a brief 2 day reprieve Tuesday and Wednesday, your regularly scheduled COMEX gold and silver raid is back, with gold being smashed to $1576, and silver back towards $28.
The US Mint has updated their gold eagle sales totals, and the Mint has reportedly sold an astonishing 57,000 ounces of gold in the first 2 business days of January– nearly half the total of all of January 2012!
The post QE4 MOPE raid in gold and silver continues today, with the cartel moments ago sending silver down another waterfall to $32.19, and gold to $1688.
With the Fed now OPENLY admitting that the only way to fund the massive US deficit is by outright bond monetization, current precious metals prices will be looked back upon as the greatest opportunity/gift of all time in the not-too-distant future. The question is will you have the intestinal fortitude to be right, and sit tight?
*Update: Well, that didn’t take long for the expected short covering rally, as silver has now jumped .80 from its lows to $32.80
The cartel continues to cap $32.50 and $1730, as silver and gold were both just treated to waterfall declines on the COMEX open.
Silver was smashed vertically from $32.70 to $32.04, and gold from $1730 to $1717.
Expect the shorts to cover and close out many of these new positions by the end of the session in order to hide their tracks for the weekly COT cutoff.
*Update: Wave 2 in progress, cartel finally successful in smashing silver through $31.50, last of $31.11.
As is standard cartel MO, gold and silver were both smashed on this morning’s NFP release, which unsurprisingly beat expectations (only 4 days prior to the elections- numbers can be revised next month afterwards).
Silver was smashed nearly .80 to $31.56 (the $31.50-60 zone holds as support for the nth time), and gold was smashed down $25, back through $1700 to $1691.
Gold and silver were greeted with waterfall declines on today’s COMEX open, as surprisingly, gold received the brunt of the cartel’s attack.
Silver was smashed from $33.90 under $33.25, while gold was driven down more than $25 in minutes from $1765 to $1738.
Now that the metal’s upward momentum has stalled after large rallies over the past few weeks, the cartel is throwing everything but the kitchen sink at the futures market to keep silver under $35 and gold under $1780.
Apparently Blythe’s monkey’s are burning the Sunday midnight oil in order to prevent silver clearing $36 and triggering JPM’s rumored silver derivative losses.
A miniature replica of the May 2nd, 2011 drive by shooting was just completed, as silver was knocked down the proverbial mine-shaft moments ago, dropping nearly a dollar in nano-seconds on Monday’s Asian open.
Volume data indicates that 3,297 contracts, or 16.5 million paper ounces of silver were dumped on the market in a mere 5 minutes between 9:00 and 9:05pm EST.
In other words, approximately 1/2 of the entire US annual silver production was dumped on the market by the cartel in a 5 minute period on a Sunday night.