by Gene Arensberg , Got Gold Report:
We believe there are two classes of large traders dominating the battle underway for price discovery in the COMEX futures market for silver bullion. We point to the mercenary Swap Dealers on one side of the battlefield – figuratively dug in and short selling futures in obscene numbers as we have been documenting in these GGR pages.
On the other side of the margin-line killing fields are the hedge funds, commodity trading advisors (CTAs) and other large traders who trade futures for clients (not for their own book), traders the CFTC classes as Managed Money. Managed Money traders have apparently taken a notion that the downtrend that defined the price action for silver from February to June is not only over, but it is clear they feel that a new and potentially important new uptrend has taken its place (almost certainly). Nothing else explains the confident, aggressive pace of buying pressure and short covering Managed Money has taken in recent weeks (which we will detail in a moment).
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