There will be plenty of sellers around who need to get out - folks with a margin call, producers, who missed the highs and need to explain to shareholders what happened, etc
thats nonsense ... yes .. it could happen I know how to read a chart ... but in order for this to occur gold would have to drop to below $$580 ... do you think $gold drops another $25- $35 tomm ? if so then go short silver and cover at $10 ( no position ... except my silver coins that I still have not sold )
Dont forget that theres a whole lot of folks in Asia who will wake up to this news and may not want to average down. There also stops under 610, 604 and 598 that in illiquid trading can be hit by sleazy dealers. But who knows? The world hasnt changed, Iran can say something etc....I'm out and will wait to see what tomorrow brings.
I've only been a student of silver for a short time... keeping that in mind, it does appear that, as SethArb pointed out, Monday, April 27, 1987 was the sharpest one-day sell-off within the last 20 years, in absolute price terms. (Not if we go back to the excesses of 1979-81, of course.) Almost exactly 19 years ago today... still months away from Black Friday, the Oct. 19th stock market crash. Here's a chart of that year, from tradingcharts.com: Here I've zoomed in on the period of interest: We can observe (this is really for my own benefit, since the charts obviously speak for themselves, loud and clear): - a parabolic rise from sub-$6 to nearly $10, culminating on Friday, 4/24/87. - a ~70-cent gap down, then major sell-off on Monday, 4/27, to as low as $7.20, and "closing" around $7.75. Was that the price at which trading was halted for the day? - the next day, Tuesday, 4/28, we had a 25-cent gap up at the open to $8, subsequently closed; ended the day down around $7.60, but failed to set new lows. - followed by 3 weeks of an uptrend to nearly the high, completing a 1-2-3 pattern, and finally (almost) closing that original 4/27 gap down. - price then came down and settled into a slightly descending channel for the rest of that year. We'll see soon enough to what extent history repeats itself. Obviosly, in 1987 we didn't have a gazillion of online small speculators, playing the Hunt Brothers on their mighty, sub-$500 PCs...
Does anybody here know if previous historical selloffs in AG occurred soon after exchanges upped the margin reqs?
upping margin puts pressure on the pikers and mouth breathers in the market.............. usually short lived........... history has shown that it takes funds and margin players 3 days to blow out of their positions no matter what the market ....so relax
Hmmm... sorry for interrupting your conversation. I am extremely green in AG... I have been experimenting with a small Oanda account and doubled my money earlier this week in AG only to lose most of the gains this morning. So are you saying that if it holds for two more days then the worst is probably over based on historical precedent?