smashOn last Friday’s Silver Doctors Weekly Metals & Markets I warned that the momentum in gold and silver had started to fade, with paper bullion beginning a horizontal trading pattern, and the mining shares ever so slightly rolling over.
Countless times over the last 15 year bull market I’ve watched the cartel follow this pattern when metals intiation a big move.  The cartel waits for momentum to fade before attemptint to take prices down a notch.
We managed to see higher prices on Monday.  But again, once reaching a higher plateau, trading was flat for most of Monday.  
Starting with the Tuesday early morning session, the monkeys appeared and the smash turned aggressive later in the day:

The Battle Royale continues as the cartel has hammered gold back under $1300 once again with a last of $1293, and silver has been knocked under $19.50 to $19.45 on heavy volume the first day without an official London Silver Fix. 

cartel taken to kneesIn the MUST SEE video analysis below, PM Fund Manager Dave Kranzler reviews the options expiration week that was for gold on the Comex. Predictably, the hits just kept coming. The take down of gold arrived right on time, which Kranzler explains in a unique blow-by-blow format.
The thieves are laughing–all the way to the vault.
PM fund manager Dave Kranzler’s blow-by-blow video analysis of the latest orchestrated gold take-down is below:

flash smashWe have well documented the fact that over the past few years, gold and silver are smashed on the FOMC release, with the smash nearly always culminating early Thursday morning. 
The April FOMC meeting proved no exception, as silver has been smashed to an $18 handle this morning, and gold below $1280. 

silver crashIncredible as it may seem, at the low price of $20, speculation in silver is rampant. Market participants are trying to front-run a big price move. Due to rumors or gut feel or for whatever reason, they are expecting not only that silver will outperform gold, but that the silver price will rocket to a much higher price. Their frenetic buying of futures has pulled a lot of silver into carry trades.
Maybe hoarders will all of a sudden increase their appetite for silver metal that they will take off the market and bury. If so, the silver futures speculators will be proven right, and they will make a lot of dollars (money is a different story entirely).
I would not recommend that anyone bet his hard-earned money on a maybe.  The data—both open interest and basis—show that the buying in the silver futures market is primarily speculators. They cannot sustain a higher price forever. They are merely trying to front run a higher price driven by hoarders. If hoarders don’t come in, the speculators will be forced to capitulate.  If that happens, watch out below.
The neutral price of silver is in the $16’s today. If the price overshoots as far to the downside as it is now stretched to the upside, we could see silver with a 12 handle.

silver smashThere was a definite attempt last week by the cartel to dislodge the speculator shorts and cheat the people out of the notion of profiting from their intended plunge in metal prices.
In Silver we did not see much dramatic action.
BUT, what is not so dramatic in silver IS dramatic in gold.
In gold we saw a reduction in total open interest of almost 35,000 contracts!  That is almost 7,000,000 (yes you read it right) 7 MILLION ounces!
Notice the commercials have the lion’s share of open interest reduction, because if we add up the speculators reductions and additions, we see they are not quite a wash but absolutely MASSIVE open interest reductions on the part of the commercials.  To what end?  Just to drop the gold price a little?  I don’t think so.

fill and killGold and silver have been smashed below support at $1250 and $19 this morning on a classic post-FOMC day raid.
Gold has been smashed $30 to $1237, and silver is down nearly $1 from Wednesday’s trading with a low of $18.93 before bouncing back above $19.

flash smashAfter consolidating near $1200 and $19.40 throughout the overnight Asian and London sessions, gold and silver have just been treated to another vertical waterfall smash, with gold plunging towards the June low of $1178 with a last of $1181, and silver plunging nearly $1 through $19 to $18.67!

*Update 10am: Whip-saw volatilaty continues as gold and silver are now spiking vertically, as silver retraces entire COMEX open smash with a last of $19.75, and gold is up $35 off its lows to $1215!

After consolidating in early COMEX trading Monday above support at $20.60 and $1280, gold and silver have just once again been kicked down the proverbial mine shaft, with silver plunging to $20.25, and gold to $1272.  Is a $19 handle imminent for silver?

After consolidating near $23.70 throughout this morning’s Asian trading, silver has again been hammered by the cartel, with the first wave of selling beginning shortly after the London open, and culminating in a classic vertical waterfall decline taking the metal nearly back to $23 on the COMEX open.
The move has broken silver out of its nearly 3 week long trading range of $23.30-$24.50 to the downside, meaning a re-test of the correction low at $22.005 is now entirely possible.

The bullion banks must not have gotten the memo that silver investors the world over had planned a co-ordinated silver buying strike for May 1st, as gold and silver have been slammed on the COMEX open, with silver down $1 to $23.37, and gold down $23 to $1454!
It appears that the bullion banks have decided to front run today’s FOMC statement and coinciding PM smash.

Gold and silver have been greeted to yet another waterfall plunge as the first trading since the CME hiked margins in both metals by 18% after today’s COMEX close.  Silver has plunged nearly another dollar to $22.50, and gold another $25 to $1350.

*Update: Both metals have already retraced nearly all of their latest losses, as silver has quickly spiked back to $23.15, and gold to $1365

JP Morgan*Update: Gold to $1350, silver to $22 handle at $22.94!!

Gold and silver are rallying off overnight epic lows this morning, as gold was smashed another $100 into the $1300’s, and silver was crushed another $3 all the way to $23! In all, silver was smashed nearly $5 (18%) and gold $165 (11%) from Friday morning!
The strength of the rally in early COMEX trading is a good first sign that the worst is past, as the cartel raises to raise metals prices before the London fix.

Our friend Sean of writes: The Mind War against the people continues. The banking cartel and the criminals who run the planet will give us no shelter from their crimes. Never mind the collapse of the Kennecott mine in Utah, never mind that the drain on Comex inventories has never been higher, never mind that the demand for PHYSICAL silver from the US Mint was at an ALL-TIME high in January and February and will be again in April… never mind the facts. We are in a MIND WAR as Satanist and U.S. Army Officer Michael Aquino coined it. And soon we are likely to find ourselves in a physical war for our very lives.

Full SGTBull Alert is below:

*Update: Full-fledged margin-call blood-bath in progress, silver nearing $23 handle, gold to $1420!!

After briefly popping back above $26 in early Globex trading tonight, silver has just been treated to another waterfall smash, gapping down another dollar, collapsing another $1.50 to a $24 handle with a last of $24.35!
Gold has plunged another $65 to $1420!
It appears that the cartel is not concerned whatsoever that 16% of annual US silver mine supply evaporated over the weekend
, and will continue to press any remaining weak or leveraged longs.

SD Weekly Metals & Markets 4/13/13: Vampire Squid Kicking Arse As MOPE Fiesta Runs Wild

Thank goodness for a day of rest — and a weekend, if you’re so lucky!  After a week like this, some precious metals investors might consider driving a car into a tree more relaxing than watching the mainstream media explain market machinations and how gold is now officially in a bear market.
Providing our antidote to mainstream MOPE, we bring you this week’s SD Metals & Markets discussion, including:

  • Paper Metals Market Madness: Silver Breaks $26 And Gold Dives Below $1500- is a wash-out capitulation crash to $22 and $1400 imminent?
  • Vampire Squid Must Eat:  The Bankster Set-up Before Cyprus Forks Over Gold
  • Tribute To Bill Murphy, Chris Powell And GATA: American heroes in the most classic sense of the term

Launch the radio program by clicking the YouTube play button and enjoy the supplemental write-up.  Let’s get to it!

In light of today’s paper futures smash sending silver towards $27 and several recent predictions by silver experts that silver’s long term price target is $20, we thought it apropos to re-post SRSrocco’s detailed analysis of the current COMPLETE COST FOR MINING SILVER, along with a NEW UPDATE from Steve.

By SD Contributor SRSrocco

Last year, I wrote an article titled THE COMPLETE COST OF MINING SILVER.  In it I used a quick formula to figure what a more true cost would be for an ounce of silver than the CASH COST.

This is an update of the complete cost for mining silver:

silverThe totally normal gold and silver market have gone vertical after their NFP release smash as the cartel HFT algos seek to trigger every stop possible, with silver rocketing over $1 back over $29 to $29.39, and gold up $25 to $1585.

Because this is what a freely traded market looks like….

worst-is-yet-to-comeOur friend Turd Ferguson of TFMetalsReport has released a gold and silver update warning that the worst may be yet to come for the current gold and silver cartel smash.
Ferguson states that the odds are at least 25% that gold and silver will still see a spike-low harvesting stops, with silver plummeting to $25, and gold towards $1500:

I’m beginning to sense that the ultimate goal of this entire event is to harvest the stops below $26. IF this happens…and currently I’d put the odds at about 25%…a quick drop to $25ish would be your final bottom.  Price would quickly recover back above $26 and this deliberate beatdown would be over…And gold could very easily suffer the same fate. If The Cartel can engender enough additional spec selling, a veritable cornucopia of sell stops lay waiting for them sub-1530. And you can just imagine the reaction in the media: “GOLD IN BEAR MARKET!!” will be screamed as loudly as possible in the hopes of inspiring even more selling.  

Is the worst yet to come in the gold an silver correction?