Gold Price - Where is it heading?

[sinner]

Lower margin requirements mean they will be able to take higher positions. Say it isn't so.

It isn't so.

Let's assume the book for GC which JPM is running is ~1billion, and according to you they're net short. Let's assume they're net short for 100 million and dying for a reduction in margin so they can use that collateral to add to shorts.

Margin reduction of 13% means at most they can reduce their posted collateral by 130 million.

i.e. who cares.

 

[skc]

Lower margin requirements mean they will be able to take higher positions. Say it isn't so.

So can the longs?

Or did they only lower margin for shorts?

 

[Starcraftmazter]

Margin reduction of 13% means at most they can reduce their posted collateral by 130 million.

Meaning they can take further positions with the same capital.

So can the longs?

Or did they only lower margin for shorts?

Does the cartel take long positions? I think not. They manipulation is purely to the downside.

 

[Trembling Hand]

This boy aint too smart. Simple concept, no ability to understand. :silly:

 

[Joules MM1]

Meaning they can take further positions with the same capital.



Does the cartel take long positions? I think not. They manipulation is purely to the downside.

what's the benefit, that exists in your head?

if a price could be shorted to zero, ya get zero, that's the best you can get.....wouldnt there be greater advantage in pushing an exponential growth vehicle such as gold, which, is easier to force short covering and force yield models to decline to get the very cheap yield those models offer?

what's the contra trade that exists in your head......i mean, actual realisable profit?

 

[sinner]

Meaning they can take further positions with the same capital.

Yeah, obviously you have no idea about volume and turnover in the gold market.

The reduction in margin, along with the stupid assumption that they would margin this extra collateral to the gills on new positions, is still a tiny portion of daily turnover on the LBMA.

So

WHO CARES

I thought you were a physical gold buyer anyway? Personally I don't complain about lower prices when I visit my bullion dealer.

 

[Starcraftmazter]

what's the benefit, that exists in your head?

what's the contra trade that exists in your head......i mean, actual realisable profit?

It's not about profit, it's about trying to suck the juice out of the Fed's money printing machine, about trying to slow gold's inevitable rise as the true reserve currency of the world.

They don't need to make profit, they have the power to print infinite USD - the only thing they need to do is to keep gold off USD's back.

I thought you were a physical gold buyer anyway? Personally I don't complain about lower prices when I visit my bullion dealer.

If I was to buy gold, I would never buy paper and always physical indeed. I am not complaining, I merely answered another poster's question of what people who allege that the lifting of margin requirements has been bad for gold would say about this lowering of the margin requirements.



I'll also note that gold has now fallen quite a bit since the margin requirements were lowered. Coincidence? I think not! This basically proves my point.

 

[Joules MM1]

It's ...to slow gold's inevitable rise as the true reserve currency of the world.

the true reserve currency is the one we're using, it's the most recent technology in use as opposed to the old technology, gold, which is not in use...........gold is a liquidity vehicle, understand that simple concept and you'll be fine......hard to be angsty about that, eh.......pfffft.....unless, of course, youre just bad at the game then any ruse will do.......

They don't need to make profit......

duh.......yeah......all those big boys do is sit around swinging golf clubs and smoking havanas.....make money? wot for.......don't ya know golf clubs are edible

 

[Joules MM1]

I'll also note that gold has now fallen quite a bit since the margin requirements were lowered. Coincidence? I think not! This basically proves my point.

first there's the opportunity to roll or adjust front month contracts....what's the date today?......secondly, if you look at my blog you'll notice what a chart watcher notices.....it's in a nearterm downtrend, dummy and has been since when?

are YOU going to trade the thing or postulate all day......i know, send out some analysed and free samples of your indepth inadequacies.....that should placate your sense of indifference to how an auction could benefit you

 

[sinner]

I'll also note that gold has now fallen quite a bit since the margin requirements were lowered. Coincidence? I think not! This basically proves my point.

It's funny because you think COMEX futures and the associated minimum margin of their contracts set the price of gold in an LBMA world.

It's almost as funny as the time you tried to convince everyone that AAPL paying a dividend would 'distort' the entire market and drag it higher.

 

[Joules MM1]

in my humble experience, the most vocal for interference are usually the worst timers

reductio ad absurdum (that's eskimo for you're a numpty)

youre a numpty (that's scottish for you're a numpty)

 

[Joules MM1]

busy busy

https://www.aussiestockforums.com/forums/entry.php?b=961

 

[Logique]

Gold back above $1600 overnight. Quite something to have the USD Index and gold price both with bullish medium term TA setups.

German DAX down 3.2% in the session, you don't see that every day.

 

[notting]

Gold back above $1600 overnight. Quite something to have the USD Index and gold price both with bullish medium term TA setups.

That theme has been playing out for a few weeks now. Gold really should have been going lower against the US considering the US strength against Euro. Gold has been extremely well supported in the last couple of weeks in light of this, you could almost call it a hidden up trend that looks to now be breaking out.
Everything else is just a total mess.

I guess the risk is the weekness of the Indian Rupee - genuine, as apposed to speculative, demand weekness.

 

[Uncle Festivus]

I guess that as sheeple become more disillusioned with the elected establishment to maintain their lifestyles and lose faith that even their cash will be safe, that not even the USD counter-trade of relative 'safeness' will be enough to hold back the tide to gold ie people now have only 2 choices - gold or USD's?

As the fundamentals speak for themselves, only the ignorant (Buffet club?) or uninformed (Ma & Pa investors) will still choose USD's.......

Resigning myself to the fact that we may not see a sub $1500 handle gold price if the cliff arrives early........at least it's very well supported at that level so far....??

Supply & demand - so little to go around at crunchtime?

The pump & dump recovery is finished!

Non-Farm Employment Change	69K	151K	77K
Unemployment Rate	8.20%	8.10%	8.10%
Average Hourly Earnings m/m	0.10%	0.20%	0.10%
Core PCE Price Index m/m	0.10%	0.20%	0.20%
Personal Spending m/m	0.30%	0.30%	0.20%
Personal Income m/m	0.20%	0.40%	0.40%
Final Manufacturing PMI	54		53.9
ISM Manufacturing PMI	53.5	54	54.8
Construction Spending m/m	0.30%	0.40%	0.30%
ISM Manufacturing Prices	47.5	57.1	61
Total Vehicle Sales	13.8M	14.4M	14.4M

 

[Starcraftmazter]

3.71% baby, you don't see that every day!

The cartel must be losing it's grip.

 

[CanOz]

Forget QE3, its already getting priced in as a given...They're already talking QE4!!

CanOz

 

[Auslad]

It appears that the market last night rang the bell and called a bottom on both the daily an weekly charts of physical gold, futures and Gold ETF.

This next leg up should be astronomical due to the global financial system itself being on its last legs, although many still refuse to believe realities and put their heads in the sand.

Right now we have bank runs in Europe which are happening in Greece and Spain. We shpould expect over the next few days/weeks for that to spread to Italy, France Holland then the UK and finally Germany.There is also numerous reports coming out of China of Bank runs in its Provinces. Also the google search term for "bank runs" is at an all time high even bigger than the enquiries in 2008.

It is most likely in the current world climate that we should expect to see days where the Dow falls more than 1000 points at a time over the next few weeks due to both economic and geo political events including major military action in various parts of the world which may involve the use of nuclear weapons.

With times like these, investors will increasingly therefore turn to the only safe haven that is left and that is gold.

 

[CanOz]

It appears that the market last night rang the bell and called a bottom on both the daily an weekly charts of physical gold, futures and Gold ETF.

This next leg up should be astronomical due to the global financial system itself being on its last legs, although many still refuse to believe realities and put their heads in the sand.

Right now we have bank runs in Europe which are happening in Greece and Spain. We shpould expect over the next few days/weeks for that to spread to Italy, France Holland then the UK and finally Germany.There is also numerous reports coming out of China of Bank runs in its Provinces. Also the google search term for "bank runs" is at an all time high even bigger than the enquiries in 2008.

It is most likely in the current world climate that we should expect to see days where the Dow falls more than 1000 points at a time over the next few weeks due to both economic and geo political events including major military action in various parts of the world which may involve the use of nuclear weapons.

With times like these, investors will increasingly therefore turn to the only safe haven that is left and that is gold.

Its this kind of doom and gloom that makes me think to take of my bear suit and change into the bull suit...

CanOz

 

[notting]

Its this kind of doom and gloom that makes me think to take of my bear suit and change into the bull suit...

Wooo Mare!
Wait till all the pro analysts are saying it in unison.
S&P has only just gone below it's 200 day.
The short fun has just begun even though it's already paid!