As noted below by respected gold trader J.B. Slear, options expiry for precious metals is tomorrow and we all know this event is preceded by a major hit in the metals. It will be a good test to see how our very hard fought support holds at $1,750 gold and $34 silver.

Regards - VHF

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Precious Metals options expiry is tomorrow

J.B. Slear

February 22, 2012

Dollar is being supported once again by foreign bankers but not as strong as the past, US$ trade is up 14.4 points and trading at 79.285 after reaching a height of 79.405, Treasuries are flat across the board in lackluster trade. Petro Products just finished the contract roll over with Crude still high on a war footing, May Crude’s trade is at $106.50 down 25 cents from yesterday. Gold is down $1.40 and trading at $1,757.20 after reaching $1.761.80, Silver is down as well with its trade at $34.090 off by 33.9 cents after reaching a low of $34.010, base metals are mixed at present. All Grains are flat to lower, Softs/Meats are mixed with the Paper Markets flat to weak. So we wait for tomorrow’s precious metals options expiration to finish as we expect the typical slam down this day has brought to metals for years now, is it me or is the hair on your neck standing straight up as well? it’s so quiet out there, it leaves a feeling of foreboding ….. Stay Strong!!