The Bots and The Cartels Simultaneously Attack

287
Wed, Feb 29, 2012 - 11:58am

First of all, I greatly apologize for the site being down yet again. I enrolled yesterday in the site "Alexa" with surveys the site and measures the traffic. Perhaps the overload of traffic that is crashing the site is due to an initial Alexa survey? Maybe. Of course, when the crash of the site coincides perfectly with a crash in gold and silver, it sure makes me wonder. The reason given for the smash of gold and silver is the testimony of The Bernank. Hmmmm. Of course, stocks aren't down very much. Hmmmm.

Look, Santa has warned us repeatedly that there is extreme volatility coming. Today's action is certainly a part of that trend. If you can't stomach the volatility, I suggest you completely avoid trading and only use the big dips like today for adding to your stack. That said, I guess we now know what the EE has been planning to do with all of their leased silver. Lost in the madness of yesterday was a drop in the 1-month rate to -0.48%. Since we've been discussing this possible "raid" indicator here for weeks, today's drop should really come as no surprise. Additionally, we should have anticipated this today because, after silver broke cleanly through The Battle Royale line yesterday, it was poised to accelerate toward $40+. A desperate EE clearly decided that today called for desperate measures.

Let's see now if $34-34.50 can hold. I suspect that it might not. $33 will be a possible floor as that is a significant level and it would represent a roughly 10% drop from the highs of yesterday. Even $31 is not out of the question, though.

Gold is getting punished, too, but should find a solid floor between 1680 and 1705.

Please be patient and try to keep your wits about you. Silver is going much, much higher from here. Later this week, we will discuss some extraordinary, new fundamentals that will drive prices. I know it's tough but try to hang in there and enjoy the ride. TF

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  287 Comments

waxybilldupp
Feb 29, 2012 - 12:07pm

First

Perhaps? Site running at glacial speed, so hard to know.

Jonas Parker
Feb 29, 2012 - 12:32pm

Interesting that the Wall

Interesting that the Wall Street Wonks swapping paper would be taken seriously. Dunno what paper PMs are worth, but I do know what the real stuff is going for, and it's not $1730/ozt!

lairdwd
Feb 29, 2012 - 12:39pm

All related to shaking out those standing for physical

Watch the big bounceback. Soon as the cartel has those numbers down to where they want, look for the rally to continue again. Buying opportunity of a lifetime. GLD/SLV June call options.

Mariposa de Oro
Feb 29, 2012 - 12:45pm

BTFD today

too bad I didn't have more fiatscos sitting around. Had to settle for just 1/2 oz. I'm almost priced out.

Mudsharkbytes
Feb 29, 2012 - 12:47pm

All you need to know if you ever doubted the existence of the EE

1) Helicopter Ben starts flapping his yap.

2) Silver gets the CLASSIC three stage waterfall at exactly the same time, knocked down a gut wrencing 5%. Gold follows suit.

3) TFmetalsreport.com gets attacked and taken offline at exactly the same tim.

Coincidence? I think not.

I have NEVER seen silver, or gold jump in three reverse waterfalls like this, never seen ONE reverse waterfall like this in my recollection. Has anybody else?

Got to post this before the site goes down again.

polopony
Feb 29, 2012 - 1:09pm

  Since I feel like someone

Since I feel like someone just kicked me in the family jewels, I'm

going to assume that this was a "raid" by the cartel.

Serapis
Feb 29, 2012 - 1:10pm

Counter-attack, time to buy?

Watching the Ron Paul testimony, I was shocked by his level of brazenness with Ben Bernanke. Before he might have thrown in a few gold-related questions but today he took the gloves off. I am sure he has elevated himself from minor annoyance to major problem by brandishing the Silver Eagle today. Paul hinted in a speech yesterday he would be grilling Bernanke. Was silver managed because someone knew exactly what he was going to do? We were expecting a raid, but what we got was a full-fledged counterattack.

Gentlemen, prepare to defend yourself!
cz0840
Feb 29, 2012 - 1:49pm

I knew it was a trap

I knew it was too good to be true. It has gone way up too fast and I have been buying for years now and I am more cautious when I see a run-up like this in a short time. Yes, PM prices do go up and down but I treat the run-ups like Roulette; I bet on black/red ONLY when I see a lot of those played in a row (go short in the case of PM's). We know in the long run that the metal prices will go up but don't let your emotions lead your decisions on when to buy!!!

cz0840
Feb 29, 2012 - 1:50pm

I knew it was a trap

I knew it was too good to be true. It has gone way up too fast and I have been buying for years now and I am more cautious when I see a run-up like this in a short time. Yes, PM prices do go up and down but I treat the run-ups like Roulette; I bet on black/red ONLY when I see a lot of those played in a row (go short in the case of PM's). We know in the long run that the metal prices will go up but don't let your emotions lead your decisions on when to buy!!!

top_shot
Feb 29, 2012 - 5:19pm

What a Sh*t Show

I hope these fu*kers get their nts cut off and then hung out for the sheep to beat them once they wake up to this charade.

On a positive note it allowed me to pick up a couple of miners for a bargain... I hope so any way!

Keep stacking.

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