Massive Gold Futures Purchase at Close

shorecoll

Someone bought $1.3 BILLION in Gold futures just ahead of the close.

That's who you're playing against. FYI.

mhammerman

Just after lunch, I realized that something was happening. Earlier in the day, I read a CNN Money article about a consumer physical gold shortage so I was kind of already leaning into the wave. I hit the APMEX site a little; yum.

Good luck out there...

OPA

<< <i>Just after lunch, I realized that something was happening. Earlier in the day, I read a CNN Money article about a consumer physical gold shortage so I was kind of already leaning into the wave. I hit the APMEX site a little; yum.

Good luck out there... >>



Yup..shortly after lunch...and Santelli reported it on CNBC right after it occurred. The reason for the purchase was a guessing game by the pros, but they came up with 3 possibilities.

a) "A whale" making a large purchase
b) A Large Bank making a buy
c) Unrest in Egypt

You pick your choice.

rawteam1

<< <i>Someone bought $1.3 BILLION in Gold futures just ahead of the close.

That's who you're playing against. FYI. >>



The only one playing against this guy is the seller...

roadrunner

Huge buying in GDX in the last 5 minutes of the last few days. Today's was around 5 MILL shares in the last 5 minutes. Silver has been seeing heavy and steady buying (or closing
out of shorts) each day since July 18th from 5:00-5:15 pm as the Globex market is preparing to close down (ie slipping in under the radar).

Wolf359

Bought or covered?

cohodk

The futures market is zero sum. If someone bought 1.3 billion the someone also sold 1.3 billion.

derryb

<< <i>The futures market is zero sum. If someone bought 1.3 billion the someone also sold 1.3 billion. >>


What matters is how big is the buyer and how small are the sellers. Weak to strong hands where another nice profit will develop is often a planned effort. Wash, rinse, repeat, then reverse course.

Wolf359

<< <i>The futures market is zero sum. If someone bought 1.3 billion the someone also sold 1.3 billion. >>



Not when you allow naked shorting. This is a vast difference between covering a short and someone establishing a new position. Which is why I asked.

s4ny

The trading activity in the Dec Gold contract was approx 227,000 contracts vs. the prior day's open interest of
239,000 contracts.

Monday, Tues, Wed trading was around 135,000 contracts/day. Thurs is more, but not hugely
so.

Could be just churn or could disguise an accumulation.

Watch the open interest.

cohodk

<< <i>

<< <i>The futures market is zero sum. If someone bought 1.3 billion the someone also sold 1.3 billion. >>



Not when you allow naked shorting. This is a vast difference between covering a short and someone establishing a new position. Which is why I asked. >>



The futures market is zero sum. Period. Please try to understand these markets.

jmski52

The futures market is zero sum. If someone bought 1.3 billion the someone also sold 1.3 billion.

That implies that technical charts don't mean anything, doesn't it? Since the same money is only being moved around, the charts should be flatline, if what you suggest is true. Of course, I'm being somewhat facetious, but a purchase of 1.3 billion isn't peanuts, either.

cohodk

<< <i>The futures market is zero sum. If someone bought 1.3 billion the someone also sold 1.3 billion.

That implies that technical charts don't mean anything, doesn't it? Since the same money is only being moved around, the charts should be flatline, if what you suggest is true. Of course, I'm being somewhat facetious, but a purchase of 1.3 billion isn't peanuts, either. >>



Nor is a sale of 1.3 billion. I pay very little attention to large trades as they generally dont mean anything. I would be more impressed by 1000 different trades of 1.3 million each.

derryb

<< <i>

<< <i>The futures market is zero sum. If someone bought 1.3 billion the someone also sold 1.3 billion.

That implies that technical charts don't mean anything, doesn't it? Since the same money is only being moved around, the charts should be flatline, if what you suggest is true. Of course, I'm being somewhat facetious, but a purchase of 1.3 billion isn't peanuts, either. >>



Nor is a sale of 1.3 billion. I pay very little attention to large trades as they generally dont mean anything. I would be more impressed by 1000 different trades of 1.3 million each. >>


Watching JPM's large trades could make someone (besides JPM) very rich. They most definitely generally mean something.