Blatant manipulation of paper based PMs means get out of them!
Based on the number of PM call options for expiration in the near months, which are in the 10’s of thousands, it looks like there is a real incentive to manipulate PM prices to be flat to downward till mid-2014. This will allow the call writers to pocket all the proceeds at expiration.
Accordingly, all those who have been drawn into buying near term calls should make a commitment to stay away from them PERMANENTLY, and look for a bottom on physical. Ann Barnhardt saw the writing on the wall and closed down her business because of the manipulation taking place in the derivative markets for the customers she served.
Among other things to steer clear of are PM newsletter writers, who appear to be drawing in investors to buy into PM mining companies and physical PMs before time. Just allow prices to find a bottom based on your own inclinations, meaning what appears to be a turnaround on large volume that is confirmed by relevant charts and trustworthy Internet news services. If enough do this it will create losses for the crowd doing all the manipulation.
Nothing about the direction of any paper based markets makes any sense, including the major indices that should be plunging with reports coming out of Washington, DC on this country’s debt, which is a “kick the can down the road” approach. As you should know, when it is not market factors that are the determination of price, you have no chance of profiting on paper based investments. Numerous reports of PM shortages are not creating what should be an expected rise in prices. But that means at some point you’ll be handed a real gift in physical pricing when PM markets finally bottom.