Detective Gregory: "Is there any other point to which you would wish to draw my attention?"
Holmes: "To the curious incident of the dog in the night-time."
Detective Gregory: "The dog did nothing in the night-time."
Holmes: "That was the curious incident."
Arthur Conan Doyle, The Adventure of Silver Blaze
Comex Option Expiration Next Week.
AND the Fed meets at Jackson Hole at the Kansas City Fed's annual soiree.
Let's see what happens. That may be very telling with regard to what inning of this game we are in depending on how gold acts here, and to what extent we see a correction, consolidation, or a continuation.
There are rumours of margin increases and an indication from a large US broker in the last document below. They do like to run things up so they can then smack them down, as they did with silver.
Besides, we can't let Venezuela's Chavez have his evil way with things can we?
My forecast was for a run to 1850 on the short cover, and that was exceeded. Now I would look for a very serious attempt at a bear raid, and some sort of correction. If that bear raid fails for whatever reason, this thing will have legs to the upside, but watch for the secondary attacks after expiration.
The key variable is a fresh wave of monetary and global crisis or some announcement of some version of QE3, even if it is just an interest rate program on the longer end.
Unless that is, if we are tottering very close to one of those game changing things that catches us by surprise. Well, everyone except all those who knew it would happen, at least, after it does.
