Friday, March 4, 2011
Gold This Morning: Thrashed Like a Rented Mule --Jon
Modest overnight volume after yesterday's incendiary turnover that could only be fueled through a concerted attack by insiders smoking a pair of Ben Bernanke's old Reeboks. I do not make this stuff up so why should gold be lashed when it is clear that, assuming you do not use a personal shopper and taster, prices are elevated, the Fed balance sheet is staggeringly high, Enda (new PM of Ireland) and stubborn Angela are into mutual seduction today courtesy of www.political-match.com, and of course everyone sells gold before the jobs report. There's much more, of course, but time to look at the daily facts. GSR is unchanged ~41.20...liquidity? check. RSI eased to ~63 , not yet in trampoline territory, but resilient. Open interest as of Wednesday rose ~3,000 contracts and we remain distant from the levels seen at recent trading tops. I see on our large trading room screen that the frenzied CNBC smarties have already installed the count-down clock for the oh so eagerly anticipated jobs report and have even rolled out avuncular Uncle Al to provide articulate commentary. Today: I suspect we would not have seen yesterdays trading chicanery and fraud if they felt that 'the number' this morning would do their dirty work so hold on and just maybe, and since it's Friday, we mop up some shorts.