The Silver Bears are Back...

Part 6- The Paper Silver Manipulation Game at all time Highs (Caution strong Language)

Another Decline In Registered Silver Brings Total Comex Physical To Multi-Year Lows

Submitted by Tyler Durden on 05/03/2011 17:05 -0400

One would think that following the total "annihilation" (as it has already been pegged by some) in silver over the past few days, that Comex would promptly reverse its "temporary" reclassification of Registered into Eligible silver, or so the believers in Comex holdings claim. Which is why to our surprise we noticed that today, the Comex announced that the ongoing inverse reclassification from Registered into Eligible continues, with Scotia Mocatta seeing another 186 thousand ounces of physical silver moving into that dark pool known as "eligible" holdings.

And Now For Today's Mini Silver Flash Crash: Same Time, Same Place

Submitted by Tyler Durden on 05/03/2011 18:42 -0400

Just like yesterday and the day before, 6:30pm is now the official precious metal "bang the afterhours" launch time. As we predicted minutes ago, silver just got taken to the cleaners on what is now an apparent attempt to push silver around in the no volume part of after hours trading, in the 6-7 pm no man's land. We expect an imminent rebound after this latest attempt to trigger stop losses, probably those around $40, fails. If it succeeds in pushing silver below $40 it is very possible that the metal can promptly trade down to the mid $30s as a result. And while banging the close has been investigated by the CFTC for years (resulting in some modest smacks on the wrist recently for the ex-Moore trader who did this with impunity), we are confident it won't be before 2015 that the CFTC's commissioners investigate this particularly odd behavior in silver and gold. By then it, of course, won't matter.

Lear Capital: Physical Precious Metals vs. Precious Metals Stocks

When it comes to precious metals, an often discussed topic is whether one should own precious metal stocks or the actual physical metals. Here's some things to ponder if you are considering placing money into either.

Let's ask the question. Why does one own metals' stocks? Answer? Because you expect metal prices to rise. Any answer you give after this, takes second place, third, fourth, whatever!

Crude Plunges

Submitted by Tyler Durden on 05/03/2011 14:12 -0400

Has the time, when the end of QE is ultimately priced in, finally arrived? Following another steep sell off in silver, matched only by the decimation in Chinese stocks, it appears margin calls have finally come to crude, which just plunged by $2 in seconds. And if the answer is yes, is this the expected rotation from the inflationary to deflationary mood which is so very critical for Bernanke to launch his third and final QEasing episode? Expect a major spike in real vol (not VIX) here if we have finally come to the inflection point.

Relax, It Has Always Been This Way

Posted: May 03 2011 By: Jim Sinclair Post Edited: May 3, 2011 at 6:57 pm
Filed under: General Editorial, Trader Dan Norcini

Dear CIGAs,

Silver helps and silver hurts. Silver did its normal silver thing. As poor man’s gold, silver always gets over speculated on minimal financing among the believers.
Then, as today, believers get sold out by the short play to follow.

There is no top in gold at this time, nor in all probability in silver.

In truth, the action is beneficial to the ability of gold to scale the heights 2011-2015 defined by Alf Fields and Martin Armstrong.

Click chart to enlarge in PDF format with commentary from Trader Dan Norcini
For further market analysis and commentary, please see Trader Dan’s website at www.traderdan.net