Wow what a crash, and btw, comex raised margin after the drop. http://www.bloomberg.com/news/2011-...omex-after-biggest-price-drop-since-2008.html fun times ahead.
In the past, yes it drives even more sell off and if friday QE3 is announced, drives it even lower. Everyone should be rushing for the exit right now. Good move? I don't know. The huge $300 spike was based on fear, so a $300 drop due to sobering up puts gold where it started before the spike.
I guess that an attack on gold prices was inevitable, TPTB want to keep things under their control and weighted in their favour as long as they can. (Presumably until they have bought enough physical gold cheaply and are ready to let the price of their asset skyrocket).
It seems like silver is leveling off a little bit. Gold may slip a little more though I think but I doubt below 1600.
Trader Dan is saying a margin rise has been put in place for the end of trade thursday. http://traderdannorcini.blogspot.com/2011/08/cme-group-hikes-margins-for-gold_24.html edit oops already mentioned.
Interesting comment in an article on the margin hikes on Marketwatch. http://blogs.marketwatch.com/thetell/2011/08/24/cme-raises-gold-margin-requirements-again/
Don't be like the share market guys. Every dip/rise should not matter that much if you spread your purchase. PM investing should be taken with prudence, not by calling top or bottom.
comex margins + maintenance requirements raised plus leveraged speculation selloff, good buying opportunity coming up imo, lets see what bernankes speech will do
Bob Chapman says Gold to $8000 and Silver to $500 MINIMUM. http://sgtreport.com/2011/08/8000-gold-500-silver-minumum-sgt-interviews-chapman/
Its because we are buying dragons next week. Its actually good for us, it will go back up when the dragon rush is over. Slam
Trouble is there aren't many places to buy dragons without being massively price gouged so the price drop doesn't help if one is looking for dragons.
