MitchJi
Trying to learn kindness, patience & forgiveness
Interesting manipulation of Gold and Silver:
Aren’t currencies and metals supposed to move in the same direction? Usually, however, we have one making new highs and the other making new lows. What makes it even more bizarre is that at 7:07 PM Thursday night, after normal market hours had ended, someone put in a large sell order in Silver as it was trading at 16.06, near the high of new session. In such a thinly traded market, Silver wiped out a lot of stop-loss orders as it plummeted to 14.34. A couple of minutes later it recovered much of that decline, but the technical damage was done. That maneuver took Silver to its lowest level since February 2016. Where are the regulators when you need them? One wonders how long it will take for someone to recognize the manipulation that is going in in the metals markets. Or maybe they do. But for traders, it is as if we are stuck in retrograde mode where things happen contrary to the norm.
The “mistake” that led to a large selloff in Gold the prior week, and then the selloff in Silver this week, is more shock than absentmindedness. Shock that it happened, and more shock that nothing is reported about it.
This is a highly combustible time, when surprising actions and reactions are prone to unfold, as the world witnessed last week with North Korea’s ballistic missile test. The USA military establishment, in reaction, went ballistic, demanding a “military option” plan. And strangely enough, aren’t these the type of unsettling world threats that are supposed to cause Gold and Silver to soar upwards? But instead, the metals fell to new cycle lows as traders and investors seem more focused on the Fed’s plan.
Aren’t currencies and metals supposed to move in the same direction? Usually, however, we have one making new highs and the other making new lows. What makes it even more bizarre is that at 7:07 PM Thursday night, after normal market hours had ended, someone put in a large sell order in Silver as it was trading at 16.06, near the high of new session. In such a thinly traded market, Silver wiped out a lot of stop-loss orders as it plummeted to 14.34. A couple of minutes later it recovered much of that decline, but the technical damage was done. That maneuver took Silver to its lowest level since February 2016. Where are the regulators when you need them? One wonders how long it will take for someone to recognize the manipulation that is going in in the metals markets. Or maybe they do. But for traders, it is as if we are stuck in retrograde mode where things happen contrary to the norm.
The “mistake” that led to a large selloff in Gold the prior week, and then the selloff in Silver this week, is more shock than absentmindedness. Shock that it happened, and more shock that nothing is reported about it.
This is a highly combustible time, when surprising actions and reactions are prone to unfold, as the world witnessed last week with North Korea’s ballistic missile test. The USA military establishment, in reaction, went ballistic, demanding a “military option” plan. And strangely enough, aren’t these the type of unsettling world threats that are supposed to cause Gold and Silver to soar upwards? But instead, the metals fell to new cycle lows as traders and investors seem more focused on the Fed’s plan.
