We do not control the volume, the depth of perception or anything in the market. The volume of the investors on this board comprises less than 2% of the total volume. We simply do not move the stock or any stock for that matter. Hedge funds move the market, plain and simple.
As per Chamaes post earlier, he said that RBC bought around 250,000 shares in 1 order on the Toronto Exchange. He has a L2 that shows the mm, bid size and who actually is buying and selling. Seems Canadian L2 is alot more detailed.
Everyone of my other PM investments have been rocking along. NG, SSRI, PAAS, GG, they are all doing great. Only SLW has lagged behind the group. So, yes I will stick by my theory that RBC came out with a pathetic and bogus "report" to try and get the stock for cheap not only for themselves, for hedge/institutional clients as well.
A hedge fund with a direct connnection to the mm can call the mm and get them to drop a stock a certain price to fill a multimillion share order. The hedge funds gives "incentives" to the mm for filling these very large orders. In other words, the deck is stacked in their favor. Hopefully Sen. Grassely will have full Congressional investigations of the SEC to stop this practice of manipulation by controlling the behavior of the mm outside the basic fundamentals of supply vs. demand. Understanding how they work is key to not ever getting shaken out. Doesn't ever worry me, because once the short postions are covered and they own the overwhelming majority of the stock, they will run it up higher than ever before, becuase they will now have a personal motivation to do so.
As far as the theory of GG selling their stake in SLW to fund Pensaquito, alot of hot air, nothing less, nothing more. GG wouldn't sell any of their stake in SLW with silver prices dramatically rising. Silver is going to outpace Gold later in the year, GG is not selling a winner. Besides even if they needed money to fund more of pesaquito, they could get it via fiat currency means, and keep their evermore appreciating assets.
The bottom line is this./ Silver is going above $17, very good chance it will do so by tommorrow morning. Already at $16.45 and building. When Silver is above $17, SLW will have to react to the higher prices and move accordingly. The manipulation of this stock was very obvious and it's time the stock moves according to true supply vs. demand. The stock is in very high demand and will start to reflect this fact.
Hold onto your hats, Silver will surge as the world's stockiles are now gone and a 200M Oz. per year shortage will now occur. Silver was once at $47, will be into the 20's in no time flat.
From DailyFX and Kathy Lien, considered to be one of the best Forex Traders on the planet./
Will the US Dollar Fall to a New Record Low? Tomorrow�s US retail sales report will the catalyst that determines whether where the dollar falls to a new record low. Over the past few weeks, the market has gone from pricing in just one 25bp rate cut to as much as 75bp of easing at the end of this month. The Federal Reserve has grown increasingly bearish, all on the fear that the trouble in the US housing and labor markets have spilled onto consumer spending. Chain-store sales last month were weak and Target�s earnings disappointed Wall Street, but at the same time December retail sales which includes spending during the holidays should have been fairly decent last year. Also, the forecast for 0.1 percent growth is very low, meaning that it will not take much to beat the market�s pessimistic projections. If the number is stronger than forecasted, there could be a fairly material bounce in the US dollar because sentiment is so skewed to the downside. If consumer spending actually falls in the month of December, then not only is a 50bp rate cut from the Federal Reserve guaranteed, but so would a rally up to 1.50 in the EUR/USD. In addition to retail sales, we are also expecting producer prices. We do not think that inflation will rise significantly because Bernanke downplayed the threat of inflation in his speech on Thursday and import prices were flat last month. The Federal Reserve is on track to continue lowering interest rates; the question is by how much. Therefore even if we do not see the EUR/USD hit 1.50 tomorrow, it should be just a matter of time before the dollar falls to a new record low. As more fourth quarter earnings are released, we expect the weak dollar to help boost profits for more US companies. This morning IBM announced that its revenue grew 10 percent from a year ago with 6 points of that growth coming from the weaker dollar.
The weaker the dollar the higher the price of Gold and Silver. If the FED cuts 50 basis pts. it's off to the races.
Can L2 doesn't show who bought. It shows bids and asks. To find out the actual transaction you can go to tse.com and put in a symbol and get last 10 or so transactions. It's delayed about 15mins so you might be able to catch the trade that you're looking for. Most of the time the large transactions are crosses between funds within the same institutions. Also these large trades usually don't appear on the bid side. Also L2 doesn't show iceberg orders which sometimes would be usefull and L2 doesn't show all or nothing orders either which sometimes are nice to hide you sell orders within the queue. Either way Canadian L2 is nice to have.