PM Market Spike Discussion

[NHsorter]

Spot Prices. Trying to get some opinions flowing here. Why the sudden disconnect of the DOW and the PM's? How long should this trend keep up? Are you cashing out at all on the spike, or hoping to ride a bigger wave? Dispense you knowledge HERE

[reddirtcoins]

The DOW just went red for the year and look what just happened to metals.

[IdahoCopper]

This morning's move from $27.20 to $28.60 is within the normal range of volatility. Its not a spike.

[NHsorter]

This morning's move from $27.20 to $28.60 is within the normal range of volatility. Its not a spike.

OK, spike was a strong word, but the disconnect from stocks is noteworthy, is it not? Right now my NUGT is +15% for the day so I must say that I am a little excited. I'm considering taking it off the table, since I am finally back to about par for the year. But I also don't want to be on the sidelines for a good rally. Raking in a quick pile of FRNs would help with stacking-stacking-stacking

Sure, I'm a market hack and I don't read charts well or study like I should. But I still like to play the game and consider myself as one of the luckier fools since I started this a handful of years ago.

[SoFa]

Big volume, don't sell.
It's a very solid breakout for GLD, and SLV is pushing up against the overhead supply zone right now.

[Jonflyfish]

It's non farm payroll (NFP) Friday. Often one of the most important funnymental econ releases. After a massive USD surge, traders have been on edge and jumpy. Job data is manipulated with several variables. Today the number was reported weaker than consensus estimates. It's all baked in the cake.
Truth in price.
Cheers!

[IdahoCopper]

The DOW just went red for the year and look what just happened to metals.

Perhaps stock investors really do grok PMs for wealth protection.

Better to bail from the stock market into PMs the moment it goes negative for the year, thus avoiding the rush to the exit next week.

[SoFa]

The time to get into cash was a few weeks ago when the market entered the correction. Now the indexes are about to test their 200day averages.

There has been a divergence of the dollar versus the metals the past couple of weeks (dollar keeps shooting up, metals not tanking anymore). Something is expected to happen.

[Jonflyfish]

The time to get into cash was a few weeks ago when the market entered the correction. Now the indexes are about to test their 200day averages.

There has been a divergence of the dollar versus the metals the past couple of weeks (dollar keeps shooting up, metals not tanking anymore). Something is expected to happen.

Dollar shoots down today and metals up.
It's all in the price.
Cheers!

[68Camaro]

European markets are down big, but suddenly (for a moment) the Euro doesn't look quite as weak as USD, given the weakness shown today. So Euro up, USD down - relatively speaking. You can't do a quantitative correlation (the Euro is STILL down big compared to recent history), but PMs do often react to USD spikes up/down. And this is some evidence that a flight away from risk includes movement toward PMs, which I find interesting in this situation, given what has happened at other times recently.

[68Camaro]

But as far as the Dow itself goes as a major index, I predict the PPT will come in buying this afternoon and buy the Dow back up more toward even by the end of the day.

[Jonflyfish]

European markets are down big, but suddenly (for a moment) the Euro doesn't look quite as weak as USD, given the weakness shown today. So Euro up, USD down - relatively speaking. You can't do a quantitative correlation (the Euro is STILL down big compared to recent history), but PMs do often react to USD spikes up/down. And this is some evidence that a flight away from risk includes movement toward PMs, which I find interesting in this situation, given what has happened at other times recently.

On a trade weighted basis, the USD also got hammered by the yen, temporarily or not, it is what it is...

Cheers!

[Oakair]

European markets are down big, but suddenly (for a moment) the Euro doesn't look quite as weak as USD, given the weakness shown today. So Euro up, USD down - relatively speaking. You can't do a quantitative correlation (the Euro is STILL down big compared to recent history), but PMs do often react to USD spikes up/down. And this is some evidence that a flight away from risk includes movement toward PMs, which I find interesting in this situation, given what has happened at other times recently.

On a trade weighted basis, the USD also got hammered by the yen, temporarily or not, it is what it is...

Cheers!

The yen was artificially depressed by the earthquake and whatnot and has been in a steady recovery and looks set to continue its upward trend...1.30 would be a safe target I'd assume...

I'd much rather have yen than usd based on the charts

[Jonflyfish]

European markets are down big, but suddenly (for a moment) the Euro doesn't look quite as weak as USD, given the weakness shown today. So Euro up, USD down - relatively speaking. You can't do a quantitative correlation (the Euro is STILL down big compared to recent history), but PMs do often react to USD spikes up/down. And this is some evidence that a flight away from risk includes movement toward PMs, which I find interesting in this situation, given what has happened at other times recently.

On a trade weighted basis, the USD also got hammered by the yen, temporarily or not, it is what it is...

Cheers!

The yen was artificially depressed by the earthquake and whatnot and has been in a steady recovery and looks set to continue its upward trend...1.30 would be a safe target I'd assume...

I'd much rather have yen than usd based on the charts

I believe the yen strength was real after the quake. Repatriation of capital was enormous, even with mild BOJ interventions.
My posts today have only been about today. Majority of flows in the pairs and crosses are with EUR/USD and USD/JPY, both of which are hammering against the buck today. Look at gold!

Cheers!

[misteroman]

This is a joke of a spike to what it should be. There is no real way any of these economies are going to pull out of it. Period. It's almost needs to be like a bankrupt and start over thing like they do in business , which is sort of what any economy is

[blackrabbit]

It is a very nice beginning of June.

[Jonflyfish]

Smooth as butter price transitions.

Cheers!

[fb101]

This is just a game. Poor jobs data is thought to mean QE3.
A lot of people missed the story where the fed says 8% is now in their minds (?!?) full employment.
There will not be another QE until after Obama is reelected.
I expect "the Bernank" will come out next week and open his' yap and put a damper on things,
but only for a couple of weeks.

Having said that, it's nice to see some life in the metals!

[Engineer]

There will not be another QE until after Obama is reelected.

Never say never. War is another form of QE, and they're beating the drums louder every day.

[fb101]

I agree, but that would hurt the incumbent re=election chances, so unless we are attacked we won't do a thing to defend our national interests or anything else.
I honestly think if a nuke was set off in this country this year we'd accept the apology and let it go at that.

[Know Common Cents]

No doubt some of the goldbugs were caught napping today with the strong upward zoom in the price. So be it. I'm disappointed in today's silver jump, though. I was hoping for $1.75-2.00 up with so much renewed interest in gold and UC buck weakness. So that leaves me sitting on the fence about whether to buy more before it revisits $29 (possibly as early as Monday) or watch world happenings unfold for another couple of days.

My faith in silver hasn't been shaken. I remain in my rather static default positive mode. Market manipulation is the wild card, though. With the possibility of currency intervention by various central banks or massive selling of Au and Ag by the banksters to drive the price down. Either or both these moves could be orchestrated with a prompting by the White House to counteract the bubbling malaise from the US job numbers, 25% unemployment rate in Spain and the perpetual puu puu platter of N Korea, Syria, Israel, the European Union, the upcoming Presidential election and on and on.

I do know, however, if I spin a couple of cull silver dollars on the counter top (as I'm prone to do to drive the cat nuts) and hear the ring of the coins before they stop, I'll be buying stackable Ag within minutes.

[rexmerdinus]

Perhaps stock investors really do grok PMs for wealth protection.

LOL, haven't heard that term in a while...I LOVE Heinlein!