What's going on here?

[gazzahere]

morning all,

this is a pic. of SS screen about 9.30 this am - it has been the same since eot when I have seen it.

I have only had one coffee so far, so it might be me

There, at first glance seems something quite wrong with this picture --------------- any ideas?

tia have a great day all Gazza

 

[alexisio]

Whats wrong?

 

[House]

Ah see it now. Haven't looked at prices since the last crash. Friday smackup makes a nice change

 

[Rinchin]

I saw this first thing after logging on this morning. Stuck out like a sore thumb to see silver and gold heading in opposite directions.

 

[Andy28]

Silver is up in both AUD and USD, but Gold is down in AUD but up in USD. Im sure there is a rational explanation.....I just don't know it.

 

[gazzahere]

yep, spot on Andy ------------ not like a usual spike stuff up -------- I went to gold org direct - the same, so no linkage problem.

I find it confusing???

gazza

 

[Silver bullitt]

Silver is up in both AUD and USD, but Gold is down in AUD but up in USD. Im sure there is a rational explanation.....I just don't know it.

Probably a lost cause trying to "rationalize" this particular market ATM.
Rationality seems to be completely absent from the equation lately, an interesting development all the same.
Nice to see something different, what ever it might mean.

 

[gazzahere]

thanks bb ----------- I knew someone would have had the second coffee and worked it out.

thanks again

G

 

[Andy28]

gotcha, good thinking 99!

 

[hem9]

The chart seems to be different from the kitco.com chart just a few $ for gold and a few c for silver but still different, makes you wonder which is the right chart?

 

[Southerner]

Hey Rinchin,

I was starting to worry that REALfarmacy may be selling "performance enhancing" pharmaceuticals for older gentlemen. You know the ones.

But no. It's a really interesting site. Love the tiny house vid.

Thanks.
Southerner

 

[TreasureHunter]

morning all,

this is a pic. of SS screen about 9.30 this am - it has been the same since eot when I have seen it.

I have only had one coffee so far, so it might be me

There, at first glance seems something quite wrong with this picture --------------- any ideas?

tia have a great day all Gazza

http://forums.silverstackers.com/uploads/5847_odd.jpg

Are you referring to the fact that the 1st graph shows a decrease of gold's price in AUD, while the other 3 graphs show an increase?

 

[Pirocco]

Are you referring to the fact that the 1st graph shows a decrease of gold's price in AUD, while the other 3 graphs show an increase?

the post of Bullion Baron already explained the directionally different gold and silver price changes.
It's because the silver price is typically driven up/down faster than golds price, and the AUD currency change undid the gold price increase, but not the silver price increase.
See, a part of gold / silver price movings is due to currency exchange rate changes, not due to gold / silver market itself.

 

[Pirocco]

Ah see it now. Haven't looked at prices since the last crash. Friday smackup makes a nice change

It's the temporary buyers buying back in (already since last week).
They couldn't smackdown anyway because they had nearly no net position left.
The Good speculators that prefer paper above physical are buying futures positions from Evil JP Morgan.
Later on the Good speculators will ring Evil JP Morgan as to cancel these purchase contracts, and then we get the smackdown. The last of them probably receiving margin calls first haha.

 

[TreasureHunter]

Are you referring to the fact that the 1st graph shows a decrease of gold's price in AUD, while the other 3 graphs show an increase?

the post of Bullion Baron already explained the directionally different gold and silver price changes.
It's because the silver price is typically driven up/down faster than golds price, and the AUD currency change undid the gold price increase, but not the silver price increase.
See, a part of gold / silver price movings is due to currency exchange rate changes, not due to gold / silver market itself.

Yes, we could say so
But I would have wanted more details...

I guess it is still very strange and a rare phenomenon. If silver went parallel with the USD, I would have expected the same from gold.
The timeframe is the same, so I thought silver volatility should not have affected it that much. But now I think volatility indeed played a crucial role in link with the currency exchange rate...

 

[Pirocco]

Are you referring to the fact that the 1st graph shows a decrease of gold's price in AUD, while the other 3 graphs show an increase?

the post of Bullion Baron already explained the directionally different gold and silver price changes.
It's because the silver price is typically driven up/down faster than golds price, and the AUD currency change undid the gold price increase, but not the silver price increase.
See, a part of gold / silver price movings is due to currency exchange rate changes, not due to gold / silver market itself.

Yes, we could say so
But I would have wanted more details...

I guess it is still very strange and a rare phenomenon. If silver went parallel with the USD, I would have expected the same from gold.
The timeframe is the same, so I thought silver volatility should not have affected it that much. But now I think volatility indeed played a crucial role in link with the currency exchange rate...

Well, the details were given:

US$ Gold rises from $1305 to $1315, a 0.76% increase
US$ Silver rises from $20 to $20.50, a 2.5% increase
AUD/USD rises from 0.91 to 0.92, a 1% increase <- AUD currency rises more than the 0.76% of gold, and thus gold dropped in AUD terms.

This translates to the following AUD prices for the metals (divide USD price of metal by AUD/USD rate):

AUD Gold falls from $1434 to $1429
AUD Silver rises from $21.97 to $22.28

Can't see how it can be more detailed than this.
Volatility of currency exchange rates are not exactly uncommon.
[img=w]http://finviz.com/fut_chart.ashx?t=6A&cot=232741&p=w1[/img]
You see that there were alot much higher candlesticks, even the red one ahead of this latest green one was higher.
Maybe you got too used to the more stable AUD price trend since mid 2012.
A general advise is to not focus too much on anything, in both product and time.
Imagine it's night and we climb along a ladder on a building and we walk a while, forgetting that we've passed a ladder. Then, at some step, a high red candlestick haha.