Bomb explodes at Jerusalem bus stop
Washington Post - 1 hour ago
And BOOM go Silver and Gold. Emotions in motion...
"Just because something is inevitable doesn’t make it imminent."
- Doug Casey
At the risk of sounding like a broken record...caution is still advised. The US Dollar continued to dig out of the pit it is in this morning, and looked to be about to gain some traction as it approached a pivot point on the USDX at 75.85 where it was stopped dead in it's tracks as news of the bombing in Jerusalem hit the wires.
It is noteworthy that the Dollar sold off on the news of the Jerusalem bombing. That is unusual Dollar behavior...as has been it's want of late.
The Euro was at it's low of the day, and for the week, when the news of the bombing hit the wires...it rallied. Why isn't the Euro tanking on all the news about the costs of Portugese debt? Good question.
Here is a 2-hour chart of Silver with the Euro overlayed in red... Note that Silver and the Euro have been trading in lockstep. The Euro is very overbought up here at 1.41, and the Dollar very oversold down here at 75.85. Is Silver running on new buying, or just more short covering? If this move in Silver this morning, and Gold for that matter, is just paniced shorts covering on news of a bombing in Israel be wary of price up here. Should the Dollar gain some traction, and it will if the Euro continues to slide, the Silver and Gold markets will get even more interesting than they are right this minute.
Has the JP Morgan short position in Silver reached it's tipping point? Stay tuned...
Washington Post - 1 hour ago
And BOOM go Silver and Gold. Emotions in motion...
"Just because something is inevitable doesn’t make it imminent."
- Doug Casey
At the risk of sounding like a broken record...caution is still advised. The US Dollar continued to dig out of the pit it is in this morning, and looked to be about to gain some traction as it approached a pivot point on the USDX at 75.85 where it was stopped dead in it's tracks as news of the bombing in Jerusalem hit the wires.
It is noteworthy that the Dollar sold off on the news of the Jerusalem bombing. That is unusual Dollar behavior...as has been it's want of late.
The Euro was at it's low of the day, and for the week, when the news of the bombing hit the wires...it rallied. Why isn't the Euro tanking on all the news about the costs of Portugese debt? Good question.
Here is a 2-hour chart of Silver with the Euro overlayed in red... Note that Silver and the Euro have been trading in lockstep. The Euro is very overbought up here at 1.41, and the Dollar very oversold down here at 75.85. Is Silver running on new buying, or just more short covering? If this move in Silver this morning, and Gold for that matter, is just paniced shorts covering on news of a bombing in Israel be wary of price up here. Should the Dollar gain some traction, and it will if the Euro continues to slide, the Silver and Gold markets will get even more interesting than they are right this minute.
Has the JP Morgan short position in Silver reached it's tipping point? Stay tuned...
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