SILVER INVESTORS: Take off your Tin Foil Hats!

Quote from Chicago_CTA:

Alright, so this is my first real 'negative' message, so bear with me - there's a reason I'm writing this.

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I have always been generally bullish on precious metals, and observe keenly the debasement of the US Dollar. That said...

YOU SILVER INVESTORS WHO ARE MOANING ABOUT THE COMEX TRYING TO TAKE DOWN THE PRICE ARE PURE IDIOTS!

Silver peaked at ~$50 / troy oz. back in 1980. In the past six months it's rallied about 100%, from $22 to $49.80.....

Try this: Take a monthly continuous chart of comex silver,draw a long horizontal line from its first peak at $50. This is called "RESISTANCE"; better yet, MULTI_YEAR resistance.

Thinking silver would blow through multi-year resistance after a parabolic run-up, and go to "$60" or higher is, frankly, amateurish.

Many of you silver investors are PURE AMATEURS.

The comex raised margins b/c a 5000-oz. contract was now worth ~$250,000 so a typical 8% initial margin requirement brings IM up to $20,000. KUDOS TO CME GROUP FOR BEING RESPONSIVE TO INCREASED RISK!

**Support for silver is at $22, LONG-term; let's hope it gets there so I can buy me some physicals.

I hope the big boys take us down there while you tin-foil hat wearing imbeciles rant about how the COMEX is trying to shake us all out!!! hahahahhahhahahhahha


--Chicago:D :D :D :D
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I see[''c''] your points, ChicagoC;
Partial disclosure-I am not a pure pro silver speculator, meaning I dont try to make an exclusive living in silvertrades or silver investing :D

But frankly its a favorite market;
top 7 or 8 anyway.Actually I thought/wrote/April there was a REAL good chance the parabolic time price would ''sell in may/make hay........................................................

And also one of those tradres said''$50.15/contract high'':D ;
so $50.14- $50.17+..... or $554* , was mention on the insurance papers. Could have easily taken that nu,ber out, stopped & bear/down trended .

Long term trend still looks fine;
short term polar bear/panda bear:cool:
 
Quote from veritas007:

Someone please explain how raising margins causes a sell off in silver.
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Is this a joke? Or are you trying to advertise that you are clueless about trading and investing in general, let alone commodity futures.

Ok, let's say you happen to be a investor and you bought silver futures a couple months ago. Silver is up nicely. Your broker comes to you now and tells you, yeah so like, you need another $20k to maintain your account or we liquidate. What are you going to do?
 
hmmmm. If you bought them a few months ago , you're up huge, so you already have more than enough margin.

none of these guys trade. how would they know.

for the 1 or 2 lurkers , the ones that post here are way too dumb.

margins go up, because they know every asshole and his half wit sister is in the market, they know price is about to shit itself, and they want to make sure the deadbeats like the posters you see here on et actually have the money to lose.

simple. paste that on the wall for the next time. now you can go back to reading the rantings of Mark "I never lose at the raacetrack" Brown
 
Quote from Hydroblunt:

Is this a joke? Or are you trying to advertise that you are clueless about trading and investing in general, let alone commodity futures.

Ok, let's say you happen to be a investor and you bought silver futures a couple months ago. Silver is up nicely. Your broker comes to you now and tells you, yeah so like, you need another $20k to maintain your account or we liquidate. What are you going to do?
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I don't think that's a dumb question. Although I've seen the market turn time after time when margins are raised, I'm still not sure I understand why it happens. Your example is too simple. It ignores that for every open Long contract, there is an open Short contract, who also must meet the margin or liquidate. 'liquidate' to a short, obviously, means that he must buy back. It should affect the shorts in the market equally. Actually, I think it's likely to affect them more as the shorts are more likely in a losing position which subtracts from their equity, whereas longs are holding positions which have pumped up their equity. All things equal, I would expect the shorts to be the ones feeling the heat of the increased margins more than the longs.

Not saying I'm right; it's just my idea. Can someone show me the error of my thinking?
 
Quote from olias:

I don't think that's a dumb question. Although I've seen the market turn time after time when margins are raised, I'm still not sure I understand why it happens. Your example is too simple. It ignores that for every open Long contract, there is an open Short contract, who also must meet the margin or liquidate. 'liquidate' to a short, obviously, means that he must buy back. It should affect the shorts in the market equally. Actually, I think it's likely to affect them more as the shorts are more likely in a losing position which subtracts from their equity, whereas longs are holding positions which have pumped up their equity. All things equal, I would expect the shorts to be the ones feeling the heat of the increased margins more than the longs.

Not saying I'm right; it's just my idea. Can someone show me the error of my thinking?
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Yes, I would like an explanation how olias thinking is wrong.
 
read my post, he's not wrong, the fake et traders are wrong, as usual

the diff between who's short and who's long is the key. tin foil hats are long.
 
Peilthetraveler:

"THE COMEX IS OUT TO GET US!! SKEEEEEEEERY!!"

Peil's futuers broker:

"We liquidated your account, and the resulting deficit must be paid immediately"

Peil: "SKEEEEEEEEEEEEEEERRRYY!"

LOL


:D


I'm waiting for the next ETer with a tin-foil hat to jump out and say "BUY SILVER TOMORROW!"
 
$29.36 IS SUPPORT ON JULY SILVER, IN MY OPINION.

Those without tin-foil hats should wait till that level to bid.

What a bloodbath in oil today!!!!!!!!!

HEY, WAIT A MINUTE! CME DIDN'T RAISE MARGINS ON CRUDE OIL...............SO HOW IS THIS POSSIBLE?!

IT MUST BE A CONSPIRACY! THERE IS NO CRUDE OIL IN CUSHING, OKLAHOMA! CONVERT YOUR PAPER OIL TO PHYSICAL OIL!!!! THE USD TO NOTHING!!!!!!!


:D :D :D :D

I love you guys.
 
Quote from stock777:

hmmmm. If you bought them a few months ago , you're up huge, so you already have more than enough margin.
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Assuming you are up more than the margin hike and also have not used it in any other positions. Which is the minority. The majority were not up more than the margin and also do not generally let a lot of margin go to waste.

Now plug in a CTA, hedge fund or active futures trader. If you think that the margin hike had no effect on motivating them to sell, then I have a bridge to sell you.
 
Quote from olias:

It ignores that for every open Long contract, there is an open Short contract, who also must meet the margin or liquidate.
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Maybe you should do some research on who the heavy shorts in the silver futures markets are, and have been for over a decade.
 
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