Message:

<p>[QUOTE=&quot;desertgem, post: 1567579, member: 15199&quot;]The decrease in the price of gold and other commodities weren&#039;t really a sell-off, as volumes were not heavy outside of 3 peaks where certain technical levels were broken. Many people who own the PM ETF shares still set &quot;Stop loss-sell orders&quot; a certain fraction below their limit, and when a large &quot;market price&quot; order comes down, the market goes deep into these to fill the order, and then it triggers another &quot;sell limits&quot;&nbsp; until an equilibrium is reached. Once a persons &quot; stop loss limit&quot; is broken , it may sell below the limit as it becomes a market order, and the cycle carries down.</p><p><br /></p><p>IMO, the downward direction of commodities and stocks were caused by the world&#039;s impression that the USD$ is gaining strength against the major foreign currencies. The big flurry of activity were in the Foreign exchange markets with the world trying to buy USD in exchange for their currency, and the USD had a bull day. Since commodities are priced in USD, as the strength goes up, the commodity prices are forced downward.</p><p><br /></p><p>Also since the expectation is increasing strength in the USD, a number of funds, decided that the life of current QE, may decrease and so they sold what they felt were susceptible stocks/categories. Whether they will be right or not is still assumptions. </p><p><br /></p><p>The thing is that we can not have a strong US dollar and increasingly higher PM, unless fear factors increase IMO.</p><p><br /></p><p>It is interesting to me that many want higher PM prices, but decry a decreasing strength dollar. but they probably won&#039;t get both ( high PM prices, High Dollar )unless a whole world conflict occurs. IMO.</p><p><br /></p><p>Jim[/QUOTE]</p><p><br /></p>

Your name or email address:

Do you already have an account?

• No, create an account now.
• Yes, my password is:
• Forgot your password?

Stay logged in