The Bots and The Cartels Simultaneously Attack

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


About the Author

turd [at] tfmetalsreport [dot] com ()


Feb 29, 2012 - 12:07pm


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!

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. sad

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) 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.

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. surprise

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!
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!!!

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!!!

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.

Feb 29, 2012 - 5:21pm

wife iz a sad!

today's action doesn't bother me too much, because physical metals in today's times are not supposed to be "liquid"... so raids don't matter too much.... but the wifey is sad because she seems to see today as the equivalent of potential pairs of shoes and designer handbags that went *poof*

Feb 29, 2012 - 5:25pm
Feb 29, 2012 - 5:29pm
Feb 29, 2012 - 5:31pm

This is not the raid you're looking for...

Seriously, Gold got it's butt kicked (it's almost to my "buy" level of $1680), but Silver's back down to where it was... last week. Still waiting for $31 before I pull the trigger. 

And as I mentioned on the previous thread last night, the "fundamental change" is yet to occur: 

But back in August 2011, people were talking about "feeling" that the PM's were undergoing a "fundamental change".

That "fundamental change" didn't last long, if I recall... I'm not saying this isn't it, but considering we're not even back up to last year's highs, I "feel" as though such a prognostication is premature...

ETA: we need to figure out how to protect this site from takedowns like that in the future... it's been a stressful day trying to load TFMetalsReport...

Lowland Man
Feb 29, 2012 - 5:31pm

I post rarely, but today made

I post rarely, but today made me sick.

The raid wasn't that suprising, it ll go up again, but the brutality makes me realy angry. This and especially this article I read on Jesse's.

NYT: No Criminal Case, But MF Global May Possibly Face a Fine of Up To $140,000

The brutality, the arrogance.

Feb 29, 2012 - 5:32pm


The one man who would dissolve the banks power and the fed etc..... is the only guy in the room who is up for election in 9 months.....pulls out a Silver ounce and explains to the world on world wide TV that Silver demonstrates that the Bernank is a liar and that inflation is really hurting folk....... The rest, as they, is history.

Is the world now convinced that Ron Paul is a fringe crackpot? Those who have the power will make sure they keep it. Mission accomplished.


Be Prepared
Feb 29, 2012 - 5:32pm

I've lost my TFMR....

As soon as Ron Paul... started kicking Helo Ben's A$$.... the TPTB knew they had to bring us down.... otherwise, the word would get out.... :-)

Financial Services Hearing Highlights Feb 29 2012 - Dr. Ron Paul Unmatched Intellect - EndTheFed!

Ron Paul.... true man of integrity... bringing questions to a person who believes he is above the law....

Hold over
Feb 29, 2012 - 5:34pm

well, I guess I flunked , I

well, I guess I flunked , I really thought the rise in PMs was due to an anticipation of rising prices . That some insiders were getting in early before the Bernank speech.

Feb 29, 2012 - 5:34pm

Are you there?

Wow. Hard to access the site today. I hope you are "up" for good now.

I wonder if TPTB have a mole or agent who has befriended someone in Ron Paul's admin staff. An agent who knew, or even suggested, that Ron Paul pull a silver coin out. It all coordinated far too perfectly to be happenstance. As my old friend Buck always says, "There are noooo coincidences!" 

Feb 29, 2012 - 5:34pm

USDinker dollar print to infinity crowd so flocked.

The EE will puddle up sweating bullets as time puts the push over on the leaning towers of jello. Don't have to worry about the garbage being taken out by the spineless thieving fraudsters. Naturally they all fall down. Spontaneous self combustion. Burnt pig men falling down. Ashes! Ashes rat bastards all fall down; vaporizing into nuff nuff land. I've certainly had enuff. 

Be Prepared
Feb 29, 2012 - 5:36pm

Jim Sinclair & Dan Norcini's Latest Post...

Bernanke Tries Talking Down Commodities

February 29, 2012, at 1:26 pm  by Dan Norcini in the category Trader Dan Norcini | Print This Post Print This Post | Email This Post Email This Post

Click here to visit Trader Dan’s website…

Dear CIGAs,

Today was Fed Chairman Bernanke’s chance to testisfy before the Congress’ Financial Services Committee. Here is a quick synopsis of his comments as I see them.

"The economy is getting better based on what we can see of the employment numbers but it is not growing at a fast enough clip to justify any immediate change in our accomodative monetary policy. The uptick in hiring has been helped by this policy and any change to it at the present time is not warranted. Real Estate is still a concern. Us fiscal condition is dire and faces a serious challenge at the end of this year. Inflation is not a concern although temporary rises in energy prices bear monitoring".

There you basically have it.

Based on this testimony, gold and silver were murdered. The supposed reason? – We are told that traders were expecting QE3 to be imminent and were disappointed because the usually dovish Bernanke did not sound quite as dovish as before. Thus the metals were hammered mercilessly lower.

Excuse me – but as a trader who watches these markets each and every day for more hours than I would prefer anymore, I have not seen any analyst explain the reason for the heretofore rally in the metals as traders EXPECTING AN IMMINENT QE3 program to launch.

The reason for the rally has been expectations by the market that Central Banks would keep the liquidity spighots open for the foreseeable future (near zero interest rate policy coupled with QE out of Europe and the UK) and thus create an environment in which there was little opportunity cost for buying the metals. This has been generating RISK TRADES in which traders/investors buy both stocks and commodities and generally sell off the Dollar, which was particularly pronounced after a rush back into the Euro once traders were convinced that the immediate fallout from the Greece debacle was past.

Comments this morning trying to explain the sell off in gold mentioned the failure of the metal to make it through the $1800 level and downside stops as the culprit but ironically they are deathly quiet in regards to silver, which only yesterday had staged a MASSIVE UPSIDE BREAKOUT on strong volume out of a congestion zone. Yet today we saw a nearly 8% wipe out in silver which completey erased yesterday’s breakout and then some. <Rest of the Article>

Feb 29, 2012 - 5:38pm

This is psychological warfare, so I bought some on the dip

Didn't have much "dry powder" but used what I had and got me some junk silver from Liberty around the time Silver was floating in the $34.50 area.

Can't help but think silver will recover fairly rapidly, but WTFDIK?

I posted something about this yesterday, about how I never really believe anything anymore, at least as far as PM prices are concerned.

I really think the main reason these assholes pull this crap is to literally screw with people psychologically. It's like the horrible experiments they did with dogs, shocking some after a light flashes and shocking others randomly. The ones that got the flashing light were pretty much okay until the light flashed, the other ones became complete emotional messes 24/7. I think that's what's going on here. Creating a sense of euphoria and elation just so they can turn around and kick you in the nads the next day, trying to make it so you will NEVER feel comfortable or secure trading, or holding metal.

Well I say screw 'em. BTFD. I felt a lot better afterwards.

Lastly, at the risk of repeating myself, outside of last May, I don't think you can find a more clear cut easily delineated obvious raid than what happened today. The classic three waterfalls, each one bigger than the last - all occurring within a 45 or so minute time period, all at the same exact time Ben started quivering his lips to congress, and then the attack here as the cherry on top.

Dr G
Feb 29, 2012 - 5:39pm

LOL, bring it, EE. There's

LOL, bring it, EE.

There's your official raid, for those wanting it. Many of you cried for it last week, so don't be crying about it now. As another poster said, silver is back to where it was a mere several days ago. No big deal. I'm stacking the hell out of this dip.

Still a big move coming, and it might be even bigger thanks to the Cartel winding the spring up tighter. Good job, Blythe.

Number 47
Feb 29, 2012 - 5:41pm

How pissed off am I? Was long

How pissed off am I? Was long yesterday and took profits too soon. Went short overnight and got stopped out just before the waterfall. Bwa ha ha ha!

I had the right plan but set my stop too tight. I must be the only person with the right idea that lost money. Not a lot but I could have made a packet if i had got it right. Kicking myself.

Hope everyone else did better than me. crying

Be Prepared
Feb 29, 2012 - 5:46pm

Historical Charts... Mapping Today




Feb 29, 2012 - 5:47pm


You put out a marker and picked a fight with JPM. Ya should have known they would fight back. I have to admit, you got some big Cahonas!

Feb 29, 2012 - 5:49pm

The perfect storm

It was the perfect storm of events:

* Cartel needs to shake out weak hands standing for March delivery of silver

* Wednesday - first day for new COT report

* Bernanke speaks

* Ron Paul pisses off the cartel

* Cartel provides cover for LTRO 2

* Fed horrified of 1800 gold, gave the orders to beat it down

* EUR/USD weakens 150 pips

* Obama feeling the heat from inflation - only thing that can dereal re-election

Basil Number 47
Feb 29, 2012 - 5:50pm

47 - I feel your pain

Man - that's gotta hurt.

However being upfront and open about it says plenty about you. Respect.

senseiam Mariposa de Oro
Feb 29, 2012 - 5:53pm


I had missed out on 1585 and was waiting on a dip, today just reaffirms for me patience is the key. Don't be disappointed at what transpired today, this is just another great opportunity, take advantage while you still can. There won't be many more of these in the not too distant future.

Keep adding to your stack every chance you get!

Feb 29, 2012 - 5:53pm

Too far too fast

Looks likes PM have gone a bit too far, a bit too fast. '.' IMHO, a correction was overdue, but I must concede that today's move wasn't a simple correction: they just HAMMERED the PMs down! '.'

Silver lease rates still down under -0.4, though surprisingly the gold lease rate can't seem to go down (which would make the case for a PM correction (or manipulation or whatever you want to call it) much easier :p).

Maybe some window dressing is going on too, and after 2 strong months I'd imagine that many are happy to take profits here.

Oh well, it's still not enough to make the case of the end of the PM bull market, which has still probably a long way to go. And it gives a very nice entry point. With today's move we're still in the middle of an ascending channel started in late 2008...

From here, I wouldn't mind if TPTB could bring gold lower till $1600, which would be the lower line of the channel and would allow everyone to stack up! :)

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