Change of Plans
I was going to wait until after the FOMC minutes to write up a new post but I can't help myself. I need to get this published beforehand.
Again, as you all know, so far this year any public appearance, testimony, press conference, headline and/or meeting by The Fed or The Bernank has been met with program selling by the Forces of Darkness. In about an hour, we get the minutes of the latest Goon meeting from three weeks ago. Since we already saw the "fedlines" post-meeting, there really shouldn't be anything earth-shattering in the minutes.
However, look at these charts. Tell me that they don't look set up for a fall. The charts give me the impression that it matters little what the minutes say. The Cartels are going to sell paper metal regardless. Freaking Bernanke himself could show up to proclaim that The Fed began printing $100,000 bills at warp speed this morning and the Cartel algos will still dump paper metal as soon as the info hits the wires.
But here's the the thing: Let 'em. They can bash and cajole all they want. Paper price may briefly fall but I expect it to almost immediately rebound. Fundamental changes are coming to the current structure. This process has likely already begun and the Monday and Tuesday performance of silver is testament to it.
Look for a dip regardless of the "news". Buy the dip and take delivery.
IF a dip does not develop and the "market" chooses, instead, to focus upon the future and not the past, both metals are clearly poised to blast out of their 100-day ranges and accelerate higher. Buy the rally and take delivery.
I'm still planning another, more comprehensive post for later this afternoon so please check back later.