Thu, Feb 26, 2015 - 10:40am

Isn't it amazing how so many days here in Turdville feel like Groundhog Day?

I mean, seriously. Same sh*t, different day.

It seems like I've spent countless hours these past two weeks, explaining to everyone the significance of having the HFT spec algos set to "sell-the-rally" mode. My hope has been that one day, I'll wake up to see gold well back above the 100-day MA and then see the algos relent. That day is not today, however.

As I go to post this first chart, I see that gold is now all the way back to $1206 and $13 off of its highs. I'll post an updated version of this chart in a minute. For now, here's how it looked today at the Comex open:

And here's how it has gone since the Chinese Lunar holiday ended back on Tuesday night. UP during Globex hours, DOWN during Comex hours. The blue bars delineating Comex open and closing times:

And right now, all around the world, folks are looking at the gold price and thinking "wow, gold sure can't get going" as if it's some kind of equitable market. But there's nothing free, fair, normal or equitable about it!

At present, the momo-chasing HFT spec algos are hammering price on every rally, all the while guided by the nearly-invisible hand of The Bullion Banks. There's no reflection of supply/demand fundamentals and there's certainly no reflection of the true value of precious metal. Instead, these are simply computers chasing a dot on a screen, buying and selling based upon the latest headline or blip on the 1-minute chart. It's ludicrous. It's nonsense. And it's enough to drive you mad if you let it.

OK, so now it's time for your updated chart, this time in 2-minute candles. Does this look familiar? It should because it's nearly identical to yesterday.



Meh, whatever. Whaddayagonnado? It is what it is. Blah blah blah.

There are a couple of interesting things going on today, however. The Greek and Grexit situation remains very much in doubt and a near constant state of flux. Read this: and this:

This has led to a 1%+ drop in the euro and a commensurate rise in the doubt this also encourages the momo-chasing specs to continue to sell metal. The Pig is back over 95 as I type!

And the situation in Ukraine/Russia is NOT getting any better ( and the Russians might shut off natural gas flows as soon as this weekend:

Of course, as I've maintained all along, this is leading to drive Russia away from "the west" and into closer ties with "the east". These creditor nations will, ultimately, build a competing monetary system to rival US hegemony and the Ukraine Crisis is only serving to speed up the timetable. But this isn't simply the thinking of some lunatic who spends too much time staring at his MacBook. Read here:

Anyway, here are your updated daily charts with the rapidly-closing pennants. Though we failed again today, let's see what tomorrow brings. Failing again tomorrow, let's see what Monday and the new month brings. In the end, I still think that we'll be happy with how these resolve.

Finally, be sure to keep in mind that today is contract expiration for the March silver future and tomorrow that contract will trade with 100% margin on First Notice Day. Therefore, though we've already seen a range of $16.47 to $16.90, expect even more wild volatility in the hours ahead. In the end and as you might imagine, I'd just like to see a Friday close back above $16.65. Am I asking too much??

One last note...There won't be the usual podcast this afternoon and there may not be a new post in the morning, either, as I will be taking a brief trip to check in on Mama and Papa Ferg. There will, however, be a full podcast summary and review by late Friday. Additionally, be sure to check back this afternoon for a podcast interview with a special guest.


About the Author

turd [at] tfmetalsreport [dot] com ()


Feb 26, 2015 - 10:51am


Big finish to the week coming

Feb 26, 2015 - 10:52am


in early

Hope I live long enough to see sun down on Ground Hog Day.

Feb 26, 2015 - 10:53am

Strong dollar

Strong dollar = cheap gold.

Getcha some (while you can).

Feb 26, 2015 - 10:56am

Can't Wait!

to hear from Andy Maguire! That's my special guest guess :D

Feb 26, 2015 - 10:58am

good post

It will continue until it doesn't, then you will be happy or sad with your actions before the reset

one more for me Marchas45


Feb 26, 2015 - 10:58am

Hey Turd!

I did one of my earlier P-shops here on this very subject, posted at TFMR in 2012 back when we were bitching about 30$ silver. Those were the days.

Feb 26, 2015 - 11:04am

Good Lord...

Those today and yesterday COMEX charts really tell the tale... there's no defense for that.

Feb 26, 2015 - 11:15am

Don't drive angry.;

.. not bad for a quadruped.

Feb 26, 2015 - 11:43am

TURD: Algo-Bondage will be released by the BRICS

TURD, first, thank you for all your great work.

Second, "they" won't be turning off any switches on their controlling machines, they are fully committed to their fiatski support paradigm:

See: ; in which, Former Fed Chair Paul Volcker told interviewer Lars Schall of the "government intervention in the gold market to counter 'exchange rate instability at a critical point.' " Although it is noted that the former Fed Chair maintains that gov't intervention hadn't "to his knowledge," occurred for forty-odd years, Herr Schall noted "Volcker's expression of regret, recorded in his memoirs, about the failure of Western central banks to intervene to suppress gold prices during a currency revaluation in 1973."

We should agree that "they," have certainly made up for lost time, ja?

IMVHO: More important than Au or Ag is all forms of energy; either for people or machines. As the BRICs, SCO and other energy exporters refuse the US$...the reset will begin. Their recent bilateral trade agreements suggest this has already begun; they are already bypassing the use of FRNs and SWIFT. Commodities are being exchanged for commodities...real things are reasserting their rightful dominance. Real things are the kitchen light for the cockroaches of unbacked fiat.

Additionally, if sourcing physical proves impossible by the "forces of Algo-Darkness," that will, no doubt, accelerate the metals' release from their current Algo-Bondage.

If both of the foregoing occur within the same time frame, the oft-mentioned "over-night," blast higher in the "sweat of the sun," and "tears of the moon," will be breathtaking...and, as you often stress, will not permit one's only-then-reacting-to-get-metal. One needs to be five or ten years early, since being five minutes too late will reveal bare cupboards and the metals going "no offer," for fiat.

They will never turn off their algos...other nations will, by their actions, unplug them from the current Matrix (forgive the mixed metaphors).

If the views expressed above resonate with you: Prices are absolutely vital for traders and of no consequence for stackers. We are currently living through the greatest off-price-sale in history. (And, yes, older Members here are right to wonder if they will see the reset prior to their needing a walker and/or dribble cup...yes, we will. If you don't understand/believe, I respectfully suggest you "liquidate to the sleeping level.")

Real money hurts when dropped on one's toes.

As our host correctly writes/speaks all the time, "Prepare accordingly."

Best to all,


Feb 26, 2015 - 11:57am

Gold will be the last bubble

"Gold will be the last bubble."

I can't remember who said it or where I read it, but I'm coming to appreciate the concept with time. It's all based on the illusion that dollars are wealth.

Old farmers have a saying - "Don't eat your seed corn." The seed looks like and tastes like any other corn and it's easy to justify eating just a bit when times get a little tough.

But farmers know that you must hold and protect your small amount of seed corn to have something to plant.

Seed corn does not increase on its own. A sack of seed this year will still be a sack of seed next year. Seed corn sits dormant until it is needed. But when conditions are right farmers plant that seed, and use it to grow their next crop. The increase does not happen until the seed is planted but a wise farmer knows you don't plant in the dead of winter, or in dry parched ground.

If it's not yet time to plant, protect your seed but don't be surprised that it remains dormant. That is the very nature of seed. But remember that your future harvest depends in large part on how much seed you have available to plant.

Sometimes gold looks like any other asset and when we don't see a lot of value appreciation, it's tempting to get frustrated or worse yet, actually exchange it for dollars that we think we can better use elsewhere.

Think about how many bubbles you've seen in your life. What is left to bubble? Where else are you going to go? You know we are going to see TEOTGKE in our lifetime.

Planting season is coming. The ground is being prepared. The rain is going to come. We don't know exactly when, but we have to be ready to plant when it comes.

How is your seed supply coming along?

Feb 26, 2015 - 12:15pm

Chinese may not react to phyzz as early

With the strength of the dollar just over the last 3 months the yen has lost a little over 2% so when we see gold go down to lower lows in dollars it must go that 2% before some less sophisticated Chinese buyers may recognize the sale.

Another way to explain it is 3 months ago if gold was at say $1,197 it could be pounded down to $1,172 in dollars before the Chinese Grandma shopping with Yuan in the gold store would realize how good the buy is.

So I'm thinking the Chinese physical buyer may not come out of the woodwork quite as early as we think they should now. The monkeys have another $25 bucks to play with now. Bastards

Feb 26, 2015 - 12:43pm
Feb 26, 2015 - 12:44pm


Algo-bondage. lol. Not a lot of SFW options there...

Typical gold buyer:


That's IT.


I searched and searched and searched for the very best, er - I mean, most appropriate pictures.

Feb 26, 2015 - 12:50pm

Euro Beginning to Price in a Grexit?

1.11 Handle and falling fast.

I sense something rather large is afoot.

If Greece leaves, the POSX will soar higher over 100, which should provide us with the most glorious opportunity ever to purchase PMs at new "lows"...even as gold reaches new "highs" in virtually every other currency.

The end is near.

Feb 26, 2015 - 12:50pm

The Tech Trading Monkeys are well trained

Its almost hilarious that the technical traders create there own self fulfilling prophecy. The puppetmasters continue to pull the strings and deliver there version of reality. Those playing from the long side continue to be screwed. Theirs is a no win game only way to win is buy Phys.... You can't beat them at their game so quit pissing in their fan....unless you are into that sort of thing

Feb 26, 2015 - 12:56pm


What are you talking about. The dollar is up huge and gold is going higher. Dont you think if the Euro falls apart that every person in Europe is going to head to the safety of gold. Gold will go up not down if the Euro collapses in all currencies. If the Euro collapses the dollar is close behind. Then our moment is here. Your thinking is wrong footed IMO.

Feb 26, 2015 - 12:58pm

Watching the chart today is

Watching the chart today is same as always. Blunt the rise. And they do this when the banks are 'under investigation' for manipulating gold and silver pricing.

They really believe they are immune (and probably are).

Feb 26, 2015 - 1:00pm

It's a mad, mad, mad world

Feb 26, 2015 - 1:07pm

You are correct, my friend

This is getting really interesting.

Not sure about your idea of new gold "lows". We'll see. However, the euro is now down 1.49% on the day at 1.119. HUGE move.

The low on Jan 26 was just a shade below 1.110. If we take that out on a closing basis (tomorrow?), look out below. That the euro is trading this poorly today ahead of the German vote is clearly an indication that the Grexit issue is far from resolved.

Feb 26, 2015 - 1:11pm
Feb 26, 2015 - 1:12pm

It might be OK... probably not now.

Groundhog Day - He might be OK

Feb 26, 2015 - 1:19pm

Keep in mind...

The last two days, price has begun to almost immediately levitate once the dastardly Comex closes. Let's see what happens 12 minutes from now.

infometron TF
Feb 26, 2015 - 1:22pm

@ Turd Re: It's a mad mad mad world

Bonds are still somewhat of a mystery to me, and this don't help...

Having said that, yields going up is an indication that there are more sellers than buyers, correct? If so, might it be that Russia and China are continuing to dump 10Y U.S. Treasuries? Might the FED be dumping some if its 10Y treasuries to purposefully manipulate the yield higher? Or might there be some other explanation?

As for the Portuguese bonds, my understanding is the game there is that they are being bought up in anticipation of flipping them for an easy profit with the recently announced European "QE" program. Am I right about that?

@ Ladyliberty, great post!! Loved sweat of the sun and tears of the moon are such celestial descriptions, and so appropo, especially as Au and Ag are elements born in supernovas. An aesthetic reminder as to why their value is timeless and eternal.

Feb 26, 2015 - 1:26pm

Re: Keep in mind...

In the movie Groundhog Day, Phil Connors wakes up the next morning unscathed. He is free to drive his truck of the cliff and kill himself again and again. If one of us can figure out a way to make Andie MacDowell fall in love with us, then maybe this day will finally come to an end.

Feb 26, 2015 - 1:30pm

stuck in comex city

Oh ya, the world tolerates the Comex robo gambler scam, knowing, like we all do, that it is a paper trading casino that is under Fed supervision etc. And that the US and the Euro puppets, oh forgot the Japanese puppets, too!...well, they print paper and call it 'money' and gold gives them a competitor. Ya, China knows, and India knows, too, and they like it , buying on the Comex take downs.

Sure, gramma Yellen she's got the answers?, and then the media tries to kick us under the Fed's wheels 24/7. Us being western educated people. The Fed is behind it all, the fake numbers, and they get away with scamm'n the world. Really think so? It seems tenuous, this control via Debt. The train wreck is visible now.

I think we r missing something - Gold in Cdn dollars, or Rubles and many other currencies has shot up alot! What that means is challenging to answer....

Feb 26, 2015 - 1:37pm

net neutrality: passed


Breaking news: in an historic victory of global importance, the US Federal Communications Commission just passed rock solid rules to ensure the Internet stays open and free for generations to come.

Can you click here to share this image and spread the good news?

Big Cable TV and Internet companies have spent millions of dollars to push “Internet slow lanes” that would let them charge us more money to use the Internet, and control what we could access. But after millions of public comments, emails, phone calls, and demonstrations across the country -- loads of it driven by SumOfUs members -- the Federal Communications Commission (FCC) has just said an emphatic “no” to a corporate-controlled Internet, and committed to protect Net Neutrality.

With so many websites based in the US, free and open Internet around the world was at stake. This victory will have a lasting impact towards protecting free speech and social movements across the globe. And that is worth celebrating.

Will you share this image to help us celebrate the victory you made possible?

Just six months ago, we were facing staggering odds. Big corporations like US cable TV giant Comcast had spent more than $750 million lobbying for a corporate-controlled Internet. Google, the biggest lobby in the industry, was refusing to speak up. The FCC chair Tom Wheeler, a former Big Cable lobbyist, was hostile to Net Neutrality.

But against all odds, we’ve pulled off one of the biggest victories in the history of the Internet, in what the New York Times called "the longest, most sustained campaign of Internet activism in history", won by "an army of Internet activists."

Together, here’s a snapshot of some of the amazing things we’ve done:

  • Submitted tens and tens of thousands of comments to the FCC in support of Net Neutrality, making sure the agency received more comments than ever before on a public consultation.
  • Flooded FCC offices with thousands of phone calls, to build internal pressure for the agency to do their job and protect the open Internet.
  • Tied FCC chairman Tom Wheeler to his past as a former Big Cable lobbyist on social media and his personal Twitter account, forcing him to publicly choose a side.
  • Helped turn out hundreds of people to emergency rallies and vigils across the country, including outside the White House.
  • Organized tens of thousands of people to speak up online and on the phone to demand Google publicly support real Net Neutrality.
  • Pulled off a creative protest to bring Internet slow lanes to life by literally putting private buses transporting Google employees to work in a SumOfUs-created “Slow Lane".
  • Worked together with a huge coalition of amazing groups like Demand Progress, Free Press, Fight for the Future, Color of Change, and too many others to count.

And it worked! Following each piece of the campaign President Obama, FCC chairman Tom Wheeler, and Google all came out in support of Net Neutrality -- and now the FCC has adopted an official decision to protect Net Neutrality.

But even though we’ve won this crucial fight, we must stay vigilant.

Big telecom corporations like Verizon and Comcast are already working with conservatives in the US Congress to try and undermine our win. We need to be ready to put the pressure on again in the coming months to make sure we don’t lose an inch of our progress.

Please chip in €1 to make sure we defend this historic victory from Big Cable corporations and keep up the fight to save the Internet.

Up against corporate millions, this decision to protect Net Neutrality is a massive victory for citizen campaigning. Thanks to all of us, we can finally say 2015 was the year we won Net Neutrality. Let’s keep working together to make sure it stays that way.

Thanks for all you do,

Taren, Paul, Nick, Nicole, and the team at SumOfUs

Feb 26, 2015 - 1:51pm


Though I don't have Pining's photoshop skill, you inspired me today.

Feb 26, 2015 - 1:56pm

euro is now down 1.49% on the day

But the Swiss Franc isn't following -- it's up 1 percent on the Euro.

Feb 26, 2015 - 1:58pm

Net Neutrality

Can't say I am qualified to have an opinion, however if we can't read it before we know what's in it, I have to say no

ZH provides an alternative opinion indicating it will lead to censorship.

Feb 26, 2015 - 2:01pm

@ladyliberty: The lady doth protest too much, methinks

"Real money hurts when dropped on one's toes"



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