Tuesday, 16 October 2012

How The Price Of Silver Is Continually Manipulated

By Lonnie Bressler


These days the most recent weapon to get in the industry manipulation scene is HFT or High Frequency Trading. The current computers, programs and technology allow HFT to be very efficient at repairing and controlling the price in either the silver or gold markets. It works like this, generating sell orders (in the millions of ounces) by computer programs that then instantly stop each sell purchase. These requests are put and then cancelled so rapidly they seem similar to any other reputable sell order. But they're really reflections in the mirror of an actual trade, or a spoof. It is so easy, that the cancellations go unseen through the marketplaces.

They have the distinctive ability to be put then stopped within fractions of a second. Once this huge amount of requests floods the market, it is quickly seen. It then frightens as well as tricks the actual markets into a freak out, thus seeing large positions sold quickly. Of course this is all a deception to frighten others, but it really works. Since the majority of the authentic market requests are never truly executed, those behind exploiting these trades are never in a volatile position.

Employing High Frequency Trading techniques can certainly force prices to drop by moving little to no physical volume. However when the costs decrease, marketplaces initiate a selling frenzy by sheer market panic automatically. This action can cause further cost decline in the silver markets. From this point, you can see purchase orders start to come back in. First in line will be right from the advertisements themselves who already predicted and created the value falls.

Bottom-line, High Frequency Trading is the latest approach being utilized today for shorting the valuable metal markets. It is significant to know that after the cost drops, is when all the "actual selling" takes place, followed by the commercial buying. A lot of buyers believe massive selling is what really makes the prices drop, but in fact this is not correct. Because massive selling only comes when the cost has already been forced down, which is the only objective utilized by HFT in silver.

Fact is that silver manipulation has been around in effect for an extended time. You have to view this cold and hard. Due to these silver cost scams the values are lower than they must be making this a great buying opportunity. At some time the manipulation may end, this is assured as all manipulations throughout history have ended.




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