Gold and silver - items of interest !

http://www.tfmetalsreport.com/blog/3937/friday-odds-and-ends

Friday Odds and Ends

Friday, June 22, 2012 at 11:00 am

A loose collection of things for you to consider on this fine, Friday morning.

We might as well begin with the charts. Look, I know this stinks. It has now been nearly 14 months since silver briefly peaked at $49. Gold has been under attack since early September of last year. It's painful and it's no fun. In the grand scheme of things, it's also irrelevant. In fact, it's beneficial...at least if you've been using this time to increase your physical holdings. There's certainly a lot of angst and nervousness out there regarding future price. Whatever. I, for one, am getting bored with it all. I know (in general) what is going to happen and I know (in general) how this will ultimately play out. The timeline of getting from here to there is the only thing in question. Please remain patient and resolute. You are doing the right thing. Your physical metal is your only financial protection. Don't let the day-to-day machinations of The Bullion Bank Cartels dissuade you.

So, here are two charts. Gold is still simply contained in the same $100 range in which it has traded for the past 6 weeks. Big deal. Sheesh. A couple of downticks and the world is ending. All the AGAs come out and claim that $1300 is next. It's not. Silver is currently below $27 and out of its $27-29 range but, so what. Two weeks ago it was above $29 and out of the range, too. History would suggest that anything below $27 represents a wonderful buying opportunity, not a horrific panic opportunity. Keep your wits about you, please.

One of the themes I'm going to be pounding for the remainder of this year and beyond is the ultimate removal of the U.S. dollar as basis for international trade settlement. I laid out some of the details here: http://www.tfmetalsreport.com/blog/3866/dot-connecting. Well, ZH has posted this morning an excellent summation of all the recent headlines in this area. You should check it out. Again, I'm no genius. I'm simply paying attention. Even the late Jeff Healey could have seen this one coming from a mile away.

"When the US Dollar is ultimately dethroned as the world's reserve currency (and finally gets rid of all those ridiculous three letter post-Keynesian economic "theories") nobody will have seen it coming. Well, nobody except for the following headlines: ""World's Second (China) And Third Largest (Japan) Economies To Bypass Dollar, Engage In Direct Currency Trade", "China, Russia Drop Dollar In Bilateral Trade", "China And Iran To Bypass Dollar, Plan Oil Barter System", "India and Japan sign new $15bn currency swap agreement", "Iran, Russia Replace Dollar With Rial, Ruble in Trade, Fars Says", "India Joins Asian Dollar Exclusion Zone, Will Transact With Iran In Rupees."

http://www.zerohedge.com/news/usd-trap-closing-dollar-exclusion-zone-crosses-pacific-brazil-signs-china-currency-swap

And this is interesting. Our pal, Chris Powell of GATA was on CNBC Asia overnight and he was actually allowed to discuss gold manipulation. In the brief amount of time he was allotted, Chris did his usual fantastic job of laying out the rationale of why gold is manipulated and by whom.

http://www.silverdoctors.com/blythe-masters-next-move-silver-leads-again/

What we see today is a complete change in method by JP Morgan to drop the silver price below $27 to find a new bottom to generate paper long interest in the white metal.

We shall see how the managed money responds over the next few days and if they think a bottom is in and they feel lucky.

 Either way, they get killed one way or the other as this is nothing but a bear trap being set in the darkness of the COMEX wilderness for unsuspecting money managers who have a quick hand on the till and tight stops.

We have seen hundreds of articles in the last couple of weeks that the bottom is in for the PMs and they are about to go upward and onward…

Not so, I have been telling everyone for months that prices are headed down, down, down.  But down is a very good thing for us who are in the physical scene because we can add far more ounces to our stash for the same fiat money number we have sitting on the sidelines.

What we see today is a complete change in method by JP Morgan to drop the silver price below $27 to find a new bottom to generate paper long interest in the white metal.

As you can clearly see on the chart, at bottom, long interest has once again waned and since Blythe Master’s in on a tight time schedule to get JPM’s short position sold off, before Southern Europe is toast, they have to try a new strategy to draw in the long buyers who have been sitting out of the market for quite some time now.  They were content from about mid May to the 5^th of June to allow some longs to buy in and make a little profit only to be smashed at regular intervals so those long’s stops were tripped and JPM could cover huge amounts of shorts.

 

That strategy did not work up on the 6^th however so fearing a long speculator deluge JPM had to smash those longs because things heated up too quickly and that is the result of the chart we see on June 7^th.  Since then, things have been well managed but there has been little speculative long interest so Blythe has decided only taking silver to lower levels can/will attract the speculators back into the game.

We shall see how the managed money responds over the next few days and if they think a bottom is in and they feel lucky.

Either way, they get killed one way or the other as this is nothing but a bear trap being set in the darkness of the COMEX wilderness for unsuspecting money managers who have a quick hand on the till and tight stops.

Gotta love going short in the 29s on options!

Be careful out there,

and.....

http://www.silverdoctors.com/blythe-on-gold-silver-tells-the-story/

The gold market is huge and the shorts JPM and HSBC have are tremendous and they are the key that shows JPM must get out of these before the crash of Europe because if they do not undo these short positions then they lose everything, and I mean everything.

They will cease to operate as a bank because they cannot begin to cover the losses that will mount on the COMEX let alone the over the counter market in London.

This is a follow up to my article on silver, yesterday: Blythe Master’s Next Move – Silver Leads Again

The action in Gold over the last month plus shows us that Blythe has been playing gold like a fiddle but that she has not gotten the desired result because otherwise gold would now be trading at about $1530.

My silver chart reveals her true intended intentions:

Here in the gold chart we see perfect geometric shapes, one right after the other…

There is no lack of interest in gold however unlike we saw in silver where interest waned after the conclusive attacks of the Blythe-master herself!

But, the real battle is in gold, not silver and I will tell you why.

The gold market is huge and the shorts JPM and HSBC have are tremendous and they are the key that shows JPM must get out of these before the crash of Europe because if they do not undo these short positions then they lose everything, and I mean everything.

They will cease to operate as a bank because they cannot begin to cover the losses that will mount on the COMEX let alone the over the counter market in London.