Silver Gaps Down

May 2nd, 2011

Warning: This is not a recommendation to buy, sell or hold any financial instrument.

Update

Out the calls now. No SLV position. *wipe brow*

—End Update—

Update

Sold to close May SLV puts. *cha ching* Reversed it long with May SLV calls on gap close. Intraday only.

Now, daddy needs to get taken out on these calls (SLV May 50.00 Call @ .20), so sing it with me:

Franz Ferdinand – Take me Out

—End Update—

Local low on spot silver: $42.14. It retraced almost exactly to the 38.2% fib. drawn between Friday’s close and the lows of this morning’s gap and is drifting back down now.

It’s a low volume day, perfect for an options racket.

Via: Reuters:

Silver prices tumbled by 10 percent early on Monday, with spot prices sliding to as low as $42.58 an ounce and futures dipping to $42.20 in volatile, holiday-thinned trade.

By 0009 GMT, spot silver stood at $43.32 an ounce, down 9.4 percent on the day, while COMEX silver for July delivery SIcv1 traded at $44.075 an ounce versus $48.599 on Friday.

“The reduction in COMEX length before the weekend, margin increase and holidays in large parts of Asia and Europe set the stage for a move like this,” said Natalie Robertson, analyst at ANZ in Melbourne.

Speculators scaled back their bullish bets in COMEX silver futures and options to the lowest level since early February, regulator data showed on Friday.

Related: I bought a couple of May puts on SLV.

Posted in Economy | Top Of Page

3 Responses to “Silver Gaps Down”

  1. tito says:
    May 2, 2011 at 2:51 am

    Not trying to jack the thread, but the rumor is they are announcing on TV that Bin Laden is dead on the television (YMMV). I don’t have the television, so cannot confirm.

    So, the royal wedding, Vatican high productions, Bin Laden announced confirmed dead by .gov, what’s going on? Lots and lots of front page stuff, what’s so big that it takes this much to bury it?

  2. spongeluke says:
    May 2, 2011 at 4:06 am

    blythe is getting desperate

  3. savethepopulation says:
    May 2, 2011 at 5:02 am

    I still believe gold and silver are the only money around…even the Bible says so, as well as the Constitution (R.I.P.).

    Buy the dip?

    The fundamentals are there…this is real money and those sick bastards can’t stand it, will the evil wizards kill it again this time around?

    Hold on to yer hats!

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