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<p>[QUOTE=&quot;Ainslie Bullion, post: 2198713, member: 75209&quot;]For those watchers of the gold and silver prices <span style="color: #ff4d4d">edited </span>yesterday was an extraordinary day.&nbsp; In a matter of minutes we saw gold drop near vertically by 4.2% or around $50 to just $1,086/oz.&nbsp; That is its lowest point in over 5 years and it took the other PM’s with it.&nbsp; So what happened?&nbsp; It looks as though $2.7b or around 5 tonne of gold was dumped onto the market on COMEX in one hit.&nbsp; That is a fifth of a normal day’s trade in minutes.&nbsp; It wreaked very much of a similar event in February 2014, one in which just a month ago the orchestrator was prosecuted for <i>&quot;unusually large and atypical trading activity by several of the Firm&#039;s customers and caused the mass entry of order messages by Zenfire, which resulted in a disruptive and rapid price movement in the February 2014 Gold Futures market and prompted a Velocity Logic event.&quot;</i>&nbsp; Now past events don’t necessarily prove similar repeats but one only has to ask one’s self… ‘If I wanted to exit a 5t gold contract in the most profitable way, would I dump it on an obscure time in the market with thin liquidity almost guaranteeing a precipitous price drop as I triggered stop loss orders and panic on the way down… or… would I sell gradually into a more liquid time in the market...?’&nbsp; The answer may be in whether you were a big player and may profit on the short side…</p><p><br /></p><p>We<span style="color: #ff4d4d"> edited </span>a nice succinct, Aussie, balanced article by Greg Canavan from The Daily Reckoning.&nbsp; In that article, topically given yesterday’s flash crash, he quotes Martin Armstrong as follows:</p><p><br /></p><p><i>“At the top, the majority is long and they become the fuel to make any market crash and burn. </i>[shares or property anyone?]</p><p><br /></p><p>‘<i>At the bottom, the opposite unfolds for everyone will be short. They will pile on looking for $600 gold and will count their profits upon entering the trade. They become the fuel to send the market higher for it always begins with a short-cover rally; people continually try to sell each rally, looking for that new low, just as the people at the top remain convinced that a decline would follow with new highs.</i>”[/QUOTE]</p><p><br /></p>

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