by Jeff Nielson, Bullion Bulls:
To illustrate the point I’m going to make, let’s start with today’s price action, from (as usual) Basher Central (see chart).
The Fed-heads opened their mouths today, at their “Jackson Hole” gathering. Note the price action. The price of gold plunged lower, in a straight line, the moment that their the Fed’s latest propaganda was released.
As has been explained to readers before, in large, liquid markets (like the gold market), any time we see vertical moves of any significant magnitude — in either direction — this indicates manipulation.
These vertical moves are a PRICE DISCONNECT. One moment, the price is at one level, the next moment the price is at a significantly different level. It’s never supposed to happen. One of the “advantages” touted by the bankers when they were allowed to create their paper “futures” markets for gold (and silver) is that they would increase liquidity and improve price discovery.
Translation? No vertical lines. So when you see a vertical line in a large, liquid market, think “manipulation”.
So, first we saw a vertical line downward, indicating manipulation of the market bythe One Bank. The Fed spoke, and the gold market went down. The Fed RULESthe gold market.
This is one of THE most-important propaganda themes of the banking crime syndicate in its entire crime empire. Why? Because they can have one of their Fed puppets shoot off their mouths any time the bankers command, and then use the latest Fed blather as the “explanation” for the downward manipulation of the market. “Cover” for their crimes, any time they need it
However, right after the downward plunge, we see a vertical line going upward. More manipulation. Obviously the One Bank didn’t do this. It would make no sense to use its Master Trading Algorithm to drive the price lower, and then immediately use the same manipulation to drive the price (even) higher.
So someone else manipulated the gold market higher, in computerized trading, using a different algorithm. Likely suspects? Russia and/or China. This brings me to the really important part of today’s news: the PROPAGANDA.
To show the importance of the change in today’s anti-gold propaganda, we need to flash back to another day in the market, only a little over one week ago, where the Fed-heads were also shooting off their mouths. This was covered in a previous post:
The pattern we saw in the price action on August 18th was nearly identical with today’s price action. There was a (smaller) vertical line downward, the moment that the Fed-head’s remarks were published, immediately followed by a (larger) vertical line going upward.
However, the propaganda on each of these days was completely different. First the propaganda from August 18th:
Despite advice from experts to ignore Fed speak and to focus on economic data, markets have reacted to the latest FOMC minutes and investors have now upped their expectations for the next rate hike.
Following the release of the latest minutes Wednesday, Gold sold off some $13…
What makes this propaganda so interesting? The price of gold was only $13/oz lower for a matter of seconds. There was no time to write this propaganda after the Fed’s remarks were released, so it had to be written BEFORE the remarks were released.
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