Tuesday, June 28, 2011

Harder to find and mine PM's?

From KWN today, "“I think they’ve nearly been pummeled, for example Newmont is nearly at the low of its trading range. There is a factor, a real fundamental factor here, although the price of bullion has gone up and up and up, the mining companies have a great deal of difficulties controlling their costs. Therefore their profit margins are under pressure. I was in South Africa just the other day where some of the richest holes in the ground exist, but the miners have to go down four kilometers and then along seven kilometers to get to the seam...."

You cant print gold or silver.

32 comments:

  1. I can see this happening:

    http://www.rickackerman.com/2011/06/silver-skirts-edge-of-an-8-crater/

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  2. Ted Butler should convince you that the Comex/ETF game is rigged...

    The latest short figure for shares in SLV was just released. As of June 15, the short position for SLV rose by 4.2 million shares (ounces), to a new record of more than 37 million shares. The SLV short position now constitutes more than 11.6% of all shares outstanding. This is truly an obscenely large short position for any stock; so large that it is inherently fraudulent and manipulative to the price of SLV from a size point alone. In turn, the price of silver itself is also manipulated given that SLV is the largest inventory of silver in the world. It also means that there are more than 37 million shares of SLV in existence that have no silver backing, as required by the prospectus. There is no question in my mind that BlackRock, the Trust’s sponsor is negligent for this continuing fraud and manipulation in SLV and will, hopefully, be brought to justice."
    "So large is the short position in SLV, that it seems impossible that the largest COMEX short, JPMorgan, is not somehow involved in it (and every other manipulative dirty trick in silver). To my knowledge, there is no disclosure as to the identity of short sellers in stocks. As I previously indicated, it seems patently unfair that large long holders in stocks must publicly identify themselves over certain thresholds, but no such rule applies to shorts. My suspicion is that JPMorgan is involved in the SLV short in conjunction with its big COMEX short position. On the one hand, the concentrated COMEX short position has come down significantly; but on the other hand, the short position in SLV has grown to levels never seen. Is there a connection here? I think so. I did privately ask (at the highest levels) that the CFTC inquire into this with the SEC, but asking and getting are sometimes two different things. But given the unusual price action in silver, both at the beginning of May and late last week it would seem reasonable for the regulators to see if there is a connection between the COMEX and SLV short positions. These are very unusual circumstances."

    "It is precisely these unusual silver short positions on the COMEX and in shares of SLV that contribute to silver being very special. These short positions exist for a very basic reason; there is not enough real silver available for sale at current prices. That makes it necessary for shares of SLV to be sold short, as not enough silver is available to issue new shares legitimately and in accordance with the prospectus. That makes it necessary for additional COMEX contracts to be sold by existing short holders even though they can’t economically justify their existing large short positions

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  4. WAKE UP SILVER INVESTORS!
    From:
    Bix Weir
    Add to Contacts


    It seems to me that everyone has been lulled to sleep in the silver world. One thing you have to remember is that NOTHING HAS CHANGED...except the price. Supply, demand, new technologies, physical demand, investment demand...all those reasons you got into silver have not changed a bit. What has changed is that "They" decided to raise the price to $49/oz and then lower the price below $35/oz.

    THEY can place the price of silver ANYWHERE they want with computer market rigging but they CAN'T change all those the reasons you got in.

    Do you remember how scary it was to buy silver at $49/oz? You wished you had bought back when it was $40 even though you knew that in the long run "THEY" can't stop the rising price of silver forever. Now THEY'VE placed the price below $35/oz and yet you are still scared...YOU ARE SCARED THE PRICE MIGHT GO DOWN FURTHER!

    My friend, you are playing right into THEIR hands. You are in the midst of a psych-ops program designed to make yourself question your silver analysis.

    DON'T FALL FOR IT!

    Keep stacking up ounces of silver. Keep buying up or down...it does not matter where the price goes if you truly understand the silver market. You should be preparing for the END of SILVER MANIPULATION.

    I've updated a old article to help GET YOU HEAD BACK IN THE GAME:

    EVERYBODY LOVES SILVER
    http://www.roadtoroota.com/public/457.cfm

    Also, if you are Private Road member now's a good time to refresh your memory on what "The Insider" said:

    http://www.roadtoroota.com/members/406.cfm

    We are close to some serious market chaos so be prepared for ANYTHING in the coming weeks.

    So WAKE UP sleepy head!

    May the Road you choose be the Right Road

    Bix Weir

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  7. A little below 200DMA is probably the lowest silver can go. Gold's bottom should be at 150DMA around 1450-60 perhaps.

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  8. great vid!

    http://geraldcelentechannel.blogspot.com/2011/06/economic-collapse-tsunami-is-coming.html

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  9. One more time...who bought corn?

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  10. Led, FYI, Rick does NOT use waves. He has a proprietary system called hidden pivot. I've been friends with Rick fro many years and I can tell you his system works.

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  11. @MikeS: Is it possible for me to get in on corn not trading futures, just options?

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  14. @Spencer, I trade with Optionsxpress, so I don't know what other brokerages do. Best thing to do is call (or live chat) their customer support tomorrow and ask them how to look up options on their website

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  15. Its 7:51 on the east coast, and it is time for me to chill. Night all.

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  16. i have found a couple etfs but not sure if that is the way to go. Any advice?

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  17. Spencer, send me the symbols and I will give you what I can in 1-2 days

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  18. Spencer, the only way to play corn if you do not have a futures account is to trade the CORN ETF. If you open a futures account you can trade options on futures or the contract itself. You can also trade CORN ETF options.

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  19. Led,
    I was simply correcting your comment about Ricks System. Have a beer and relax, I'm done sparring with you in spite of the fact that Sep Corn has done really well off the bottom. LOL

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  20. @LEd Thanks mate. I was looking at DBA and CORN.

    @MikeS: Thanks to you also.

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  21. Although I promised Monday and actually posted the name on Friday per my comment to Led I will now tell you why Corn got blasted last week. Barclays has an ag hedgefund that was VERY long corn and Wheat and with recent Wheat pullback from$9 to $7 they found themselves on the wrong side of the trade. There was very large forced liquidation and the market could not absorb the order flow. The locals knew Barclays was introuble and they simply pulled their bids. Once Barclays was nearly done, the prop desks and locals stepped up buy. YOU WILL NOT FIND THIS ON THE WEB SO DON'T GOOGLE IT. As I said last week, my position will be vindicated. Theres a huge inventory issue with corn and we are at the early stages of what could be an explosive up move. Trade around a core, buy the dips, spread if you are so inclined but DO NOT get caught short or flat corn! You will thank me in 60-90 days. I've been tempted to start a blog but have chosen this forum for now.

    PEACE and good trading.

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  22. DBA is a mixed bag. I am of the opinion that all ags will rally but you need to be aware that spreading across certain grains will hold DBA back. Just look at the Wheat chart vs. Corn over the last few months. Corn is where the real problem is. Let you conscience be your guide.

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  23. Thanks MikeS, definitely will do my dd. I appreciate the info.

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  24. MikeS,

    In addition to Barclays, congress was flirting with the corn subsidies and the wanted the commodities complex lower, especially gasoline.

    I have corn futures for DEC at 790. I also have call options on CORN 47 strike, for July, might be a losing trade, may roll. But I think there is a good chance with the release of the Ag report on July 12, that will give me a few days or so.

    With the flooding, droughts, and late planting or canceled planting and farmer taking insurance, that bad bet may pay off.

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