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Morning Gold Fix: September 27
From FMX Connect
December Gold settled at $1298.10 per 100 troy ounces on Friday, a net gain of of $1.80 for the day.
December gold was up $2.50 to $1300.60 per 100 troy ounces as of 7:40 AM EST, this morning. The December U.S. dollar index was down .099 to 79.50. October platinum was down $2.80 to $1637 per 50 troy ounces. December silver was up 17.6 cents to $21.575.
Morning Commentary
Today’s trading activity will be dominated by options expiries. Gold prices are likely be pinned near the 1300 strike because of the large open interest there. For a more extensive snapshot of the pin risk please refer to the tables below.
Elizabeth Thawne
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"Today’s trading activity will be dominated by options expiries. Gold prices are likely be pinned near the 1300 strike because of the large open interest there."
Yah, no shit.
There are 12000 Oct10 $1300 calls! I thought the number was closer to 7000. Oh well, let's run with it. Every $ over 1300 = $1.2MM. 1305 = $6MM. 1310 = $12MM.
Ain't no way they're letting it past 1300, at least not today. You can see it quite clearly in the chart since Friday. Four approaches to 1300. Four immediate beatdowns.
Now, that said, the EE has shot a lot of bullets and is only attempting to buy time. $1320-25 on the Dec10 is probably in the cards by Thursday. Dec10 Silver looks like $22, too.
Lastly, the fundamentals are so overwhelmingly against the Evil Empire at this point, look for a "surprise announcement" soon from the IMF or some such NGO. Dirty tricks are all they have left. The fun part is, however, that any quick selloff will continue to be picked up by our buyer(s) of size. The days of EE domination are nearly over. The Comex is broken. Its going to be a very fun Q4.
"Ya, no shit" << from you Turd? Thanks for the smiles!
Nice call, LeB. Hadn't noticed the "double excrement". Made me laugh, too.
Lots o Golden Goose crap before we get above $1300.
Yes, and at the risk of contradicting myself, wouldn't it be fun to see our friend(s), the buyer of size, come in today with the actual intent of screwing the EE? If, just for kicks, the BoS bought a bunch of $1300 calls and then spiked the futures up to 1310 or so? Just to fuck with them. Could create a whole, new set of delivery issues, too.
Not sayin, just sayin.
Two runs to 1300 on the AM fix. I may be reading it wrong. But this sure looks like a nigger trying to kill someone.
Disagree with your silver call. $22 silver will probably take a couple days in september october to get busted through.
That was a rather random and nonsensical racist metaphor.
Just checking people for itchy junk triggers.
I've noticed that some of our Puritan readers junk my posts anytime I use profanity. See above.
To them I offer a "Fuck you, too."
They uploaded Dec data this morning. Corrected here:
http://www.fmxconnect.com/fmxmetalsconnect/post/2010/09/27/Morning-Gold-...
.
http://classic.cnbc.com/id/39376353/
Saw this also, I would have thought such a move would prompt a bigger reaction in spot price
You heard of the CIA, this is the CYA.
Today I've got 2 calls from gold suppliers trying to promote me to buy some more gold.
It's got me spooked like hell!
I'm really thinking of unloading it all.
Go right ahead. Lots of folks willing to take it off your hands.
Gold coins? Why don't you buy some gold bullions?
I look for coins that are in weight cheaper then the bullions.
Also look for something that is easy to sell.
SO:
1. Nothing that weights more then 1/2oz
2. Costprice not higher then 20% above the goldprice.
How do you know whether these coins are fake? I would rather buy bullions.
don't buy them from Ebay and get certificates ;)
Certificates are easy to print... You know the story of Archimedes and golden crown. Guess you'd better check your coins like Archimedes. I do it every time I have a bullion.
;-)
Here in Europe for bullion I see the following mark ups over spot:
100g 4.8%
50g 5.8%
20g 7.5%
For coins around 150-200bps more...20% seems like robbery.
Actually, I see 7.8% mark up for Eagles and 8.9% for Krugers, competitive?
Around 2% higher than USA.
Markup on gold 1 oz. Canadian Maple Leaf coins is around 4.5%.
Current markup on 1-ounce Gold Eagles and Buffaloes from my (California) dealer is 3.8%
In Hamerica we do not have that luxury.............unless you want to really get screwed on markups.
Be glad your in Belgium.
If they are hedged, then the price makes no difference to them, they just want to buy and sell and make money off the spread.
If they aren't hedged, then they probably want to take profits.
I wouldn't worry about it until all those Cash4Gold type stores and ads disappear.
There is a Mexican restaurant in my town that has a sign out front stating that the owners are buying gold and silver. An employee of the restaurant is often seen on the side of the road there with another sign encouraging people to sell their gold and silver in the restaurant. They've been doing this for several months now.
Don't count on it, they are paying 75% of the current goldprice.
They must be making a killing these days!
That's why I buy coins because in case of event, you can easier sell them to common people. I'm not selling to those kind of people.
Monex used to call me every top. They are either trying to unload some right before a pullback or they are just told there will be a pull back not knowing there won't.
They all do it, it's a FEAR tactic.............
Fear sells.(better get it now, at this price, moonshot coming, blah,blah,blah).
TPTB are putting Panix in the water supply (along with the flouride!)
Do you need the Federal Reserve Notes now? Nothing wrong with taking some profits from the recent ramp, but I wouldn't sell everything. Hey, at least they've got some supply if they're calling you.
Gold ain,t for the short term its for the long term.Its Insurance,remember when you need it most you can,t buy it.Also remember people make a living selling Gold and Silver,sure they would like to keep it,but they have to sell to pay the bills.Don,t worry,the problems in Fiat are unsolvable.
Martin Armstrong has something on gold...gold report
http://www.martinarmstrong.org/economic_projections.htm
Sold a few Euros and GB's this morning right up at the highs. Just don't think it's going to bust through 135 today.
good or bad, right or wrong..holding pm or not, I have a serious case of itchy bum right now...plus i'm paranoid to the hilt.
As a public service...you'll thank me later...
http://www.antimonkeybutt.com/
Awesome stuff, with many many uses. I used it as a drying agent when I had a wicked episode of poison ivy...
Would someone please distill what Armstrong is saying about gold/ I read it but fear I know not what...
First Post, and I am glad to be in the
company of the great awakening.
According to the CME daily bulletin at http://www.cmegroup.com/daily_bulletin/Section64_Metals_Option_Products_2010185.pdf the open interest in OCT 1300 gold calls is only 4820 contracts. Nothing like being burdened by accurate data. Now we have proof Ms. Thawne does not know her market as well as she would have us believe. Caveat emptor!
Yes, I alluded to this above. I only see 4676 for October.
Our Apologies. We uploaded Dec Data instead. The post has been corrected:
http://www.fmxconnect.com/fmxmetalsconnect/post/2010/09/27/Morning-Gold-...
Man I miss the good old days where the boys hammered the price down for us for op ex. Everything is going to pot, we can't even get good gold market manipulation these days. What a sad state of affairs.
Trust me, they're still hammering it. It's just that the buyer(s) of size are hitting all their offers.
So how long till the demand on physical closes the exchanges? If buyers are storming the fortress and they want physical doesn't this whole system break down rapidly? They admitted 100 to 1 sale to reserve, so the system should snap unless the buyers are leaving their gold in system to be resold out from under them.
One possible delaying tactic: LBMA illegally loans out PMs in allocated accounts.
http://theintelhub.com/2010/09/21/global-gold-silver-markets-set-to-expl...
They will take another run at the goldbugs before the end of the year. Count on it. They have to shake out the weak hands again as a delaying tactic. Double benefit to TPTB if earnings collapse in October or a state/major pension fund goes under. Any small fry using leverage will get creamed and QE2 is automatically justified to 'save the world.'
Oh I think there will be price move down in the future. My guess is not only to try to shake out weak hands but to open the door for insiders to go in and make a grab. The problem with a price drop is if enough of the buyers are strong hands will line up around the block to buy more physical, so it would seem to cause a large price distortion between the physical delivery price and the paper market price. This physical premium gets too big and it breaks down in the system right then and there. Granted CNBC can croon that gold is selling at $400 an ounce but if the physical premium is $1400 every physical buyer will know that something is deeply wrong with the system (numbers made up I have no idea what they could be). That in itself should cause a panic, so if it does happen it would only make sense if it happened against the back drop of another market panic.
I bought today and I'll keep buying. I don't want to have a wad of Fun Bux and not be able to fill a physical order if there is a price collapse.
Looks like the Dow has a hangover today from slurping all that embalming fluid last Friday. Gold going horizontal, maybe Silver could do a little something this afternoon.
Gold and silver are hammered down. What a tragedy...
:-(
Yes but isn't it interesting how every little EE-created downdraft gets met with bids? It used to be that the EE could start the waterfall by overwhelming the bids, causing a cascade effect of pulled offers and long liquidation. The last 6 weeks, not so much. Even this morning look at the chart.
Hang in there, no offense, volatility may well show you to be wrong. Already back up off the mat. Can't keep a good metal down.
Why does it seem that, they always win these
OpEx days.
If they win today it will really be a loss. As they will have too many damaged banks and institutions to repair for the next fight.
Have some guts and sell it with a stop at 1315
The Jets beat Miami last night and it looks like options expiry is going to come and go without much excitement. For the 2nd straight month... Yes there is something in the air.
It's a good day to pick up some of the miners I've reco'd- - Alexco Resources, Rye Patch, Silver Quest and Riverstone Resources are all down. ATAC Resources is off by 11% at 5.69. Grab lots before it says goodbye to the 5's for good.
Got a tiger by the tail in Northern Tiger, up again today. Own it at .28, today, .82. Big news coming from their 3Ace find has driven this price action, but the news flow is only just getting started. NTGSF just announced a new exploratory drill program that will continue the news flow thru the end of the year.
News flow is a key driver of Junior Resource miner price action. The price spikes are driven by news of good drill results. As long as gold and silver continue to rise, once you find the right players and place smart bets at key points, the wins will keep accumulating.
Kaminak, ATAC, Silverquest, Northern Tiger and the others will be taking off like...
J-E-T-S!
AVL.TO is up nearly 100% in the past couple months.
Our Apologies. We uploaded Dec Data instead. The post has been corrected:
http://www.fmxconnect.com/fmxmetalsconnect/post/2010/09/27/Morning-Gold-...
Not setting out to be a troll here but ..... what is the point of these posts?
If you want to know the price of gold and silver it's readily available. COT data is readily available. It's not "commentary" it's regurgitation.
If you said "we expect as this is options expiration we expect a beat down in the price and will go long after that". That would be commentary.
They did make a call. They said they think the price will be pinned around $1300. At the end of the day we will see. They could be right, or wrong.
We like to know what each other is thinking.
I'm thinking 3:00 3:30 it'll spike at 1299 or run up over 1300 and then spend the last of the market open processing how to close it under.
Well, usually at OpEx, their has been at least a $10/20 shakeout.......not so this month.
John Williams see's a POSSIBLE SLAM on Gold, as the Fugs have to beat it down big time, if they are to continue their games.
I see that as a STUPID play if they do so. Forget about US buyers jumping all over the weak hands throwing down, China, and Russia,India,etc,etc, will BE ALL over it.
IF they succeed in doing it(I do not see a way),they lose.
So, beat it down to $400.00................their arse will be eaten alive.
Won't be a dealer on the planet with anything to sell in a matter of 24hrs.
The WORLD is onto your game...........even if J6P is just awakening.
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