Great and Wonderful Thursday Morning Folks,
Another attempt is being made to “correct the rally” with Gold being kept at $1,551.40, down $9 after being knocked down to $1,546.50 with the starting high at $1,561.90. Silver is also stuck in the attempt with its value at $19.34, down 20.7 cents after it too was dropped to $19.175 before recovering with the high to beat at $19.675. The US Dollar is also in a sell mode, as it should be, with its trade at 98.12 down 27.3 points and at the low of 98.10 with the high at 98.515. All of this was done just before 5 am pst, the Comex open, and the London close.
The Venezuelan Bolivar now has Gold’s value at 15,494.61, adding 71.91 Bolivar more than what was taken back during yesterday’s short attempt with Silver shaving off .45 of a Bolivar after that previous days 8 Bolivar rally. Argentina’s Peso now has Gold valued at 86,773.46 adding 584.95 A-Pesos to the mix with Silver now at 1,081.82 losing 0.60 Pesos. The Turkish Lira is now pricing Gold at 8,821.57 adding 56.93 Lira to the price with Silver at 109.945 losing 0.115 of a Lira as we wait for the continuation in added value we know will be upon us shortly.
September Silver’s Deliveries are in full swing with the demands for physical at 1,382 fully paid for requests showing us 382 contracts have been settled out either here at the Comex or over in London where apparently the paper is considered real. We also have a trading range in the delivery contract showing the buying prices in between the high at $19.485 the low at $19.06 and the last trade at $19.16.
Silver’s Overall Open Interest is now calculated at 223,291 Overnighters still in play proving a 2,401 drop in obligations as we watched a short cover rally occur during yesterday’s play giving many the idea that a short attack may be coming. If it doesn’t happen during tomorrows Unemployment Report, those that stay in the trade may be the better since the real battle is about currency values and in our opinion, nothing else.
Time and Price is now on the side of Silver. The shorts have taken off a little over 20,000 contracts over the past month or two as we witnessed a decent move up in price. Sure they can add these back if they wanted, but something else is telling me that the Resolute Longs have the ability to buy up their shorts and consume them all as they demand more and more physical possibly because there is a manufacturing need that has yet to be identified. So let the battle for the physicals continue, we’ll sit right here on a pile of physicals as the Paper Kitten Shorts go against Real Rock Buyers. Please keep the attitudes positive and a smile on your face no matter what, and as always …