GoldTent Oasis is dedicated to our friend and founder John F. Murphy (Wanka) of Key West, Florida without whom this website would not exist. Gone but never forgotten.
ENTER ~ Post by the Golden Rule. Gentlemanly conduct is the attire of the day. GoldTent Oasis is not responsible for content or accuracy of posts DYODD. ~~~~~~~
Trading in the Access Market this afternoon was extremely unusual. The dust hadn’t exactly cleared. Gold kept on gold lower, below $1520, and silver dropped to $18.03. Since then, both have turned around and recovered all of those losses, with silver up a few cents over its Comex close. Rarely ever see action such as that.
The dust has cleared and it was correction day for gold, silver and the shares. For a change it is fair to say this is more normal market action as compared to the crooks doing their thing time and time again. Not that they weren’t present. THEY also seem to be somewhere in our arena.
However, it is very important to appreciate the gold/silver markets have changed for eons to come. In the many years past when gold and silver were taken down like today, the jig was up for months, if not longer. These days both precious metals can turn around in a nano- second. Price volatility is to be expected from here on in. The higher the precious metals prices go, the greater the volatility.
What also is important to appreciate is that the reasons for gold and silver to go sharply higher from here are growing, not lessening.
Jeffrey Christian’s CPM Report on silver is little more than fear propaganda which is woefully short on facts and long on fairytale-based analysis. He concludes that “weak investment demand created short positions on the Comex and weak investment demand suggests that prices will not continue to rise.” Not one letter of one word in that assertion contains even the smallest shred of truth. Certainly just the flow of capital into the various silver ETFs over the summer contradicts Christian’s absurd claim.
What is driving the price of silver higher? Physical demand from India and China. Both countries are implementing large-scale solar power build-outs. Furthermore, India’s population has shifted a considerable amount of demand from gold buying to silver purchases since the Government raised the import duty on gold bars.
“However, on a shorter-term basis, if you look at the GLD, you look at its weekly RSI chart, it’s more overbought than it even was back at the 2011 highs. You got to go back to 2006 to see a time when it was more overbought,” said Miller Tabak equity strategist Matt Maley in an interview with CNBC
At the start of 2019, analysts estimated S&P 500 profit growth for the year would be around 7.6%, according to FactSet. That number has slumped to 2.3%. The percentage point drop in estimates is the biggest decline in three years, since 2016 when estimates fell from 7.8% to 1.3%, FactSet data shows.
Matt Maley, Miller Tabak managing director and chief market strategist, points out that even if the U.S. economy avoids a recession, the economy is slowing and earnings growth is “grinding to a halt.” As Maley said, “It’s hard for the market to rally a whole lot from here.”
loss in G&S on. the comex was double this–but. I. think the loss. on the HUI. was about the. same–it. created. a big ole ugly candle. thingy. on the chart. and everything closed on. the lows of. the. day–then the. very next day it. totally. reversed,,,not. saying. it’ll. happen. again. but. I just. remembered it about an hour. ago…
I. see silver closed down 13 cent… which is 17 cent off the low–that’s nothing!
Is this pullback brutal? Yeah, pullbacks in pm’s are always more brutal than anything else, but we gotta hold through them, especially this time around.
We are seeing strength into the close again, something we’ve seen for the last couple of months but haven’t seen for years.
Who knows…you don’t want to think anything really, only how desperate these idiots are.
You just gotta hold through any corrections at this point with so much upside potential in PM’s.
That said, brutal corrections are to be expected, which are healthy in the big picture. Stock market investors have been spoiled for a long time now, so one day they will pay the price for that … many will be wiped out like PM investors since 2011.
i’ve a 500 gallon rainwater tank. water is not likely to be a problem. electricity? that could be a problem with tree branches down on wires, but that is more of a threat further east. this storm is approaching from the east, and is projected to hit somewhere much closer to mar – a – lago than here in the panhandle. if that plays out, it will have to travel 300-500 miles over land to get here. hurricanes gain wind strength passing over warm water. they lose wind strength and drop moisture passing over land. if present projections play out, dorian will be blustery winds and LOTS of rain by the time it gets near here. rain, and even a little localized flooding, we can survive. treefrog manor sits twelve feet above highest recorded flood levels, and there’s high ground between here and the interstate.
over on the east coast, maybe mar – a -lago isn’t the place to schedule a conference just now.
Like I said this morning, this is just month end tape painting. The idea is not only do the funds pad their fees (which supports the status quo), but the price managers get to say “see — no trouble here”.
Tomorrow (last day of month) is the big day so expect more selling.
It won’t matter though because stocks are done soon.
Stocks remain range bound (blue lines) and are struggling to break above resistance (top blue line). This doesn’t bode well for the bulls. If stocks can’t even break above resistance, the odds of a breakout and new bull run to the upside are minimal.
This isn’t too much of a surprise…
At the end of the day, the bull market ended in mid-2018. This rally from the December 2018 lows was just a failed backtest to reclaim its trendline.
I. guess if i. wanted to rationalize today I could say “how many days have we had like today” since this move started? I. dunno but not. many…they DO. happen even in the most frantic bull run…
Are Mobius and all the other mainstream big money managers/traders crapping their pants and selling in a blind panic? The. volumes say no…is Gartman wetting his. depends? we’ll just. see what the. fates have in store…
I’m going down with the ship…I’m not selling out…but do not recommend that u stand pat–DYOD
Luckily my GUSH has covered much. of my PM exposure expense
The “snap-back” is gonna. be powerful and surprise the majority…I. went out earlier and was shocked when I came home and saw the action…it’s. vintage Cartel action but I thought, for now, we were done with it…
September and. October are the crash months for stocks…I wonder if the FED desk is gonna make them the best of the year…it would not. be a surprise in this. age of manipulation…
we better hope the market doesn’t crash before trump is elected…the dems are too horrible to contemplate
and a 3 day Weekend…can’t have a storming Gold mkt as a centre of conversation, around the barbeque’s….gotta get the shine off the price and get that SM storming back up……and put some lead back in the Dollars pencil !!!!
Oh wow !!!! they are serious…they just hit AU for 6 bucks plus while I was writing this
Loading ...
