Silver’s Call Options Count Keeps Climbing
Great and Wonderful Friday Morning Folks,
Gold is lower in the early morning report with the trade now at $1,524.60 down $6.70 after dipping down to $1,515.90 with the high to beat at $1,538.60. Silver is down as well (barely) with the trade at $17.18, off by 3.4 cents after it too was knocked down to a low of $17.03 with the daily high to beat at $17.315 with another target close by at $17.37 made this past Wednesday. If we pass that price, it will make a new high for this run and the year. The US Dollar is still the reason why precious metals are manipulated lower and with its value now at 98.12, up 11.5 points after it touched a high of 98.175 with the low to beat at 97.99. All this happened way before 5 am pst, the Comex open, and the London close.
The emerging markets currency watch shows a day of profit taking with Gold’s price, under the Venezuelan Bolivar, now at 15,226.94, barely losing 2 Bolivar with Silver priced at 171.585, a reduction of only .05 Bolivar. The Argentina Peso now has Gold now priced at 87,214.17, a reduction of 4,678.37 A-Pesos from yesterday’s count and after rising over 80,000 Pesos since last Friday with Silver now at 982.900, taking 52.09 A-Peso’s off of yesterday’s tally and after adding a total of 227.45 Pesos since last week’s closing. The Turkish Lira now has Gold valued at 8,475.13 proving a loss of 57.77 T-Lira with Silver now gauged at 95.5096 showing a cut in value of .6506 in T-Lira.
The August Silver Delivery demands shows a reduction in count of 91 leaving the demand count at 49 fully paid for contracts still waiting for receipts and with Zero Volume on the board so far today with no trading range (yesterday or) today. Silver’s Overall Open Interest now stands at 229,355 Overnighters proving a drop in count of 4,360 Obligations while keeping Silver just above the $17 mark leaving us the impression that the shorts are exiting with only 11 days left before the Sept Call Options come off the board. Of note here is the “Deep in the Money Calls” in September that tally over 15,250 options with the right to buy at $17 and below, all the way down to $7.25. In short, if a portion of these “Long Calls” are to be used to exit some futures shorts trade, then someone may be preparing for something very big and soon. Please note this is only one of many possible outcomes.
I did the options tally again and found that someone is still adding derivative positions and in all months up till the end of this year. September’s tally on August 8th totaled 25,850 Long Calls, now that quantity total is 27,224. That’s a gain of 1,374 more Long Call positions with 11 days left to go! Granted, this could also be another way the centrals can push Call prices lower, by selling more and more into the closing period overwhelming the buyers, then buying them back (these shorted Calls) if their futures game worked. We may be at the point of a Commercial Signal Failure (or win), it all boils down to who blinks first.
October’s Call tally now stands at 16,487, giving us a gain of 2,145 more Long Calls in a weeks’ time with November adding 1,434 more Calls making its total 6,285 with December adding 3,666 more Calls totaling 85,506. The combined totals give us an additional 8,619 more purchased Calls acquired these past 5 trading days. Again, this may mean nothing but 2+ years of wasted time trying to gauge what we all see as a criminal element on the verge of getting its ass handed to them. We believe this may be their attempt at trying to get out of its soon to be crushed short position. We now have a total Call Option count at 135,502 Long Calls held verses the total Open Interest in Silver. If a large portion of these options are to be used to help exit short positions, then someone is really preparing for a crack up boom!
We hold onto the idea that the mathematics in the fiat system has failed, like it was designed to do since fiat was figured. Deliveries within the Commodity Sector of the markets is where the pavement (price) meets the road (physical demand overwhelming supplies). Why the shorts had to add some many more contracts over the past few years may be answered soon enough with sharply higher prices. It is this reason why we believe it is best to have the physicals in possession than having a retirement account held under fiat. Have a great weekend, keep the thoughts positive, and hold on tight to the real, and as always …
Stay Strong!
J. Johnson