Crooked markets - anecdotal evidence to consider.......but what's done in the dark always come to light !

http://jessescrossroadscafe.blogspot.com/2012/06/gold-daily-and-silver-weekly-charts_08.html

Gold Daily and Silver Weekly Charts - Monkey Shines

“What happened yesterday in the gold market was very interesting. One full hour before Bernanke's testimony, the bullion banks started selling. Over the next 4 hours, the bullion banks sold the equivalent of 515 metric tons of paper gold. This was in just 4 hours, and again, the selling started one hour before Bernanke’s testimony...

The real question here is, how could an entity begin selling such a massive amount of paper gold when there hadn’t been any news? (starting to sell before Bernanke's testimony)...

The bullion banks are ringing the register at both ends, while trying to extricate themselves from their short positions in the paper market. They are attempting to do this before transparency comes in to the market. They do not want a situation where the aggressive hedge funds actually get evidence that these bullion banks are naked short.

They are concerned that if it is discovered they are naked short gold and silver, those hedge funds will aggressively target those banks. This is what happened to JP Morgan, recently, when the London Whale got caught. As soon as Jamie Dimon was forced to admit a $2 billion loss, the sharks realized they were vulnerable and came in to attack. That has greatly magnified the size JP Morgan’s loss. The last thing powerful entities want to see is for this to occur in the gold and silver markets.”

London Trader at King World News

One has to consider information such as this as input to be compared to other things, since we cannot directly view what the unidentified source is specifically seeing.

However, having watched the tape in real time and looked at the changes in Open Interest, it seems to be a credible description of what happened.It also tracks closely with my own view of the game which we are in. 

So as a further word of caution, if you cannot bear irrational volatility, do not trade the paper gold and silver markets. Take your positions according to your investment plans and then sit and wait.

I am perhaps not so sanguine that an end to the manipulation will come anytime soon as the London Trader seems to imply. Or perhaps this is just how I interpret what he says.

While Bart Chilton and the CFTC promise change and reform, it seems unlikely to happen anytime soon, at least before the national elections.

Still, one never knows.  Change is in the wind.

and.....

http://www.tfmetalsreport.com/blog/3885/last-desperate-acts

The Last, Desperate Acts

Friday, June 8, 2012 at 12:56 pm

The foolish, self-destructive Bullion Banking Cartel continues to crush and manipulate the price of paper metal. Their arrogance will be their undoing.

First things first. As you all know by now, paper price was crushed last night/earlier today. $23 was taken out in under a minute. This was nothing but regular, Cartel price manipulation where bids are pulled coincident to sell orders being placed. As usual, they got away with it. This time, however, we were watching and two, separate Turdites caught them in the act. Here is a C&P of an email I received last evening at 10:50 EDT, 30 minutes after the "event".

Turd,
I was watching gold sell off tonight, wondering how low it would go.  Then I saw the spike down.  On my depth of market order entry application (NinjaTrader), there was absolutely no bids or ask in the system.  So I placed a limit order quickly at 1567.  There was a long pause, but then my screens came back to life and suddenly the price slipped all the way down to 1556.  I was pissed because I thought I was filled at 1567, but my long of 6 /GC contracts was filled at the absolute bottom 1556.4.This almost conclusively proves to me that liquidity (bids) was purposely removed.  How did I get filled at the absolute bottom?

Regardless to the inner workings of the access market, somebody dumped 1750 contracts in a market order, all at once.  Same bullshit as always but this time I am getting even with these bastards.
I can prove that my order was filled at 1556.4 if you are interested.

Corroborating this was a second email I received a couple of hours later:

Hello Turd, I too was trading tonight when the bomb was dropped. I usually find the late evening hours from 8pm ET to around 11pm not too bad for trading,.....the volume usually is light and trading slow.........but tonight felt different.......I watch the Euro and the Yen and the Yen was catching some bids and moving on up........I am a one contract trader and just trade for a few dollars either way........I stopped myself out of a long at 1580.20 in the Aug gold and walked away from the computer.....when I came back a few minutes later I could not believe what I saw.......the volume for those 2 minutes if I remember was around 1800 contracts..........it usually won't trade that amount in 6 hours at night........they were gunning for the lows on the chart around 1579 and took them out with a vengeance..........this is not hedge funds trading in the middle of the night nor the small speculator......this was a coordinated massacre and the collateral damage was any long specs whose stops slipped by 5 or 10 dollars at least...........after the initial rebound rally, the market was so thin and quiet for the next 35 or 45 minutes.....most were shellshocked, if not broke, and there were no players left........I am done ranting..........and I think I will stick to trading the ES futures from here out..........and to those knuckleheads who say there is no manipulation in the metals markets, I say...........keep their heads in the sand......that way we won't hear as well what they are saying.

In the end, it's as if the entire bid/ask system was momentarily shut off. Into that void, a massive order was dumped for maximum effect and damage. A momentary, deliberate "flash crash" designed to game and flush any unsuspecting buy stops. It's deliberate, overt manipulation but it is sadly, for now, the way the game is played.

That game is changing but the blind arrogance of The Cartels keeps them from seeing it. Once again today, massive physical demand appeared in London. The Cartels selfishly crush paper price in order to game and manipulate the speculative managed money. They squeezed the shorts a week ago. They crushed the longs yesterday. The Masters of Disaster think they are playing this game and avoiding long-term consequences. As stated above, their arrogance will be their undoing.

Earlier this week, I wrote about the coming shift in the global trade settlement structure. If you haven't read this yet, please do so now ( http://www.tfmetalsreport.com/blog/3866/dot-connecting). The metal that is flowing out of London toward points East will be the basis of this new system. All metal used to back this new system is effectively removed from the global stage. As this transpires, physical metal will become increasingly scarce. Without physical metal to back the highly leveraged paper, the entire LBMA will collapse and, with it, The Comex. The LBMA and Comex collapsing will directly effect the solvency of the Bullion Banks and a new global paradigm will emerge.

Again, your only personal financial protection from this historic chain of events is the purchase and acquisition of physical precious metal, preferably gold but silver, too. (Though likely included within the new trade settlement structure, I expect silver to soar due to its own set offundamentals.)

Please, I urge you to immediately consider whether or not you own enough physical metal.

Think.

Look around.

Trust your instincts.

Act.

TF

and.....