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<p>[QUOTE="InfleXion, post: 1201750, member: 29012"]In light of new information I am bearish on silver in the short run and only relative to USD. Reason being is that shortly after the end of QE2 the CFTC is going to change margin requirements for the $600 trillion derivatives market to require real assets as collateral, and guess which are the only 2 that have no haircut? USD and US Treasuries. So that is where the deep pockets will be dumping their money to get the collateral for these margin requirements, and the Fed can say "we're not doing QE". </p><p><br /></p><p><a href="http://www.zerohedge.com/article/real-margin-threat-600-trillion-exchange-derivatives-moving-central-clearing-multi-trillion-" target="_blank" class="externalLink ProxyLink" data-proxy-href="http://www.zerohedge.com/article/real-margin-threat-600-trillion-exchange-derivatives-moving-central-clearing-multi-trillion-" rel="nofollow">http://www.zerohedge.com/article/real-margin-threat-600-trillion-exchange-derivatives-moving-central-clearing-multi-trillion-</a> </p><p><br /></p><p>Gold is at an all time high in British Pounds though, so I won't be jumping ship even if there is a sizeable dip relative to US dollars which appears to have already begun due to Euro weakness (thanks to Juncker's foaming at the mouth and Germany's stance of enforcing the laws that govern them regarding giving money away) as well as market anticipation of no QE3. Maybe the day traders will want to get out now and get back in at the sub $30/oz level, but us stackers will just keep stacking. </p><p><br /></p><p>This is of course subject to change the next time the rules do, but so far with silver and oil margins increasing and bond margins decreasing the rules seem to be favoring fiat. I am anticipating at some point however that Ted Butler's 3 decades of persistence will pay off with the short squeeze in silver finally being ousted which will likely trump all of this.[/QUOTE]</p><p><br /></p>
[QUOTE="InfleXion, post: 1201750, member: 29012"]In light of new information I am bearish on silver in the short run and only relative to USD. Reason being is that shortly after the end of QE2 the CFTC is going to change margin requirements for the $600 trillion derivatives market to require real assets as collateral, and guess which are the only 2 that have no haircut? USD and US Treasuries. So that is where the deep pockets will be dumping their money to get the collateral for these margin requirements, and the Fed can say "we're not doing QE". [url]http://www.zerohedge.com/article/real-margin-threat-600-trillion-exchange-derivatives-moving-central-clearing-multi-trillion-[/url] Gold is at an all time high in British Pounds though, so I won't be jumping ship even if there is a sizeable dip relative to US dollars which appears to have already begun due to Euro weakness (thanks to Juncker's foaming at the mouth and Germany's stance of enforcing the laws that govern them regarding giving money away) as well as market anticipation of no QE3. Maybe the day traders will want to get out now and get back in at the sub $30/oz level, but us stackers will just keep stacking. This is of course subject to change the next time the rules do, but so far with silver and oil margins increasing and bond margins decreasing the rules seem to be favoring fiat. I am anticipating at some point however that Ted Butler's 3 decades of persistence will pay off with the short squeeze in silver finally being ousted which will likely trump all of this.[/QUOTE]
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