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Message: Re: Market Movers -Options Expiration
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Aug 26, 2013 11:51AM
1
Aug 26, 2013 03:52PM

Tomorrow is an option expiration for gold and silver, and $1400 is a psychologically important level for gold.

Round numbers like 1400 tend to attract a lot of 'buy to cover' stop orders and other types of speculative betting. So a break out through 1400 could trigger a quick run higher of another 30 or 40 dollars.

And perhaps even more significantly, this is the last week of the August delivery period, and gold is in relatively short supply for delivery. At this point a quick rise in price is likely to attract more contract holders to take delivery, rather than encourage eligible bullion holders to offer for delivery by COMEX warehoused gold to the 'registered' for delivery category. http://jessescrossroadscafe.blogspot.ca/2013/08/as-reminder-tomorrow-is-options.html

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