tag:blogger.com,1999:blog-1708908742323002823.post6183206331701702051..comments2024-02-10T02:18:27.240-08:00Comments on Trader Dan's Market Views: Money Flows absent in the Commodity ComplexTrader Danhttp://www.blogger.com/profile/05484363461047659198noreply@blogger.comBlogger3125tag:blogger.com,1999:blog-1708908742323002823.post-3235652299695892402011-05-03T19:05:35.855-07:002011-05-03T19:05:35.855-07:00My guess is that a big fund is in trouble. Lots o...My guess is that a big fund is in trouble. Lots of stocks are gyrating wildly, like Herbalife gapping up and Las Vegas Sands getting killed. Probably related to all the metals turmoil, some big fund is probably liquidating everything in sight, both shorts and longs. As soon as this unwind is over we'll probably see a violent rebound. Lots of guys are smelling blood right now and they are pressing their bets to wipe out their competitors.Markhttps://www.blogger.com/profile/13068811838777958318noreply@blogger.comtag:blogger.com,1999:blog-1708908742323002823.post-87713885598708041012011-05-03T18:47:32.631-07:002011-05-03T18:47:32.631-07:00The view taken by many at ZeroHedge and Turd Fergu...The view taken by many at ZeroHedge and Turd Ferguson's blog is that the reclassification of a lot of their silver by many bullion banks, apparently Scotia Moccatta especially, from registered to eligible has spurred the Comex to raise margins as wildly as it has in order to buffalo as many speculative longs as possible out of the market. The amount of silver available for delivery is now apparently only enough for fewer than 7000 contracts. I'm way too inexperienced to have a view of my own so I'd like to learn by asking professionals. What's your take on this? Could this possibly be the driving factor in the funds' change of strategy? What are the implications in the short and medium term? Thanks so much for your thoughts. I really appreciate this blog.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-1708908742323002823.post-8066058865321844942011-05-03T18:45:14.809-07:002011-05-03T18:45:14.809-07:00Could it also be due to general risk aversion (not...Could it also be due to general risk aversion (not just commodities)? I'm not sure the money will be coming back in until we see some better general market confidence--the equities and commodities are so positively correlated these days. I feel the metals may reach a solid buying level, but be unable to move off of it, if the general risk conditions remain tentative, and thus be a potential value trap. Does this make any sense?Anonymousnoreply@blogger.com