Manipulation in the metals (GOLD) markets
Here is a must read perspective:
Gold Signals Possible New Shock
I myself blogged about 6 months ago:
" GS was recently "ordered" by USA gov't individuals (speculate), even though the lease rates for gold are NEGATIVE since the beginning of June, to "knock" the price of gold down on or about June 18th. GS followed orders and knocked gold down ... and took the rest of the commodities and the market with it. Of, course, the USA gov't needed to sell their 100+ billion in "funding" the week of June 22 - 26 soooo, the manipulation is okay ... if it's the gov't? AND ... what financial entity leases gold, diliberately, AT A LOSS (that's what WILL happen when the lease rates are negative) unless it IS manipulation? I'd LOVE to lease gold and payback LESS. Sign me up! "
There are many things to look for ... real sellers, of substantial amounts of anything, look to "maximize" the potential outcome of their "sale" by combining, or leading, with the sale of calls, futures, or the buying of puts ... these can be used as leading indicators that a "big" sale is coming. When, these DON"T happen ... it's a pretty good guess the financial entity is, or was, being order to dump ... to drive the price down. Of course, the sale of calls and futures, or the buying of puts ... are positions that are constrained by time. there is a expiration date that is final ... and you either buy back the shorted calls, futures, or sell the puts before you get to expiration, or you accept delivery. That could be viewed as bullish and undermine and defeat the original selling intent.