Norcini – A Violent Wave Of Short Covering In Gold & Silver
September 14, 2012
Today acclaimed trader Dan Norcini told King World News that in both the gold and silver markets, “… we were seeing a violent wave of short covering.” This started taking place immediately after the Fed signaled the additional QE.
Just six days ago Norcini correctly predicted that gold and silver would continue this surge. The acclaimed commodity trader had this to say about what is now taking place: “Once the QE announcement came from the Fed, gold and silver immediately soared, but so did the rest of the commodity complex. Anything that was a hard asset was moving higher, along with the stocks that produce those hard assets.”
Dan Norcini continues:
“The stock market hit four and a half year highs, gold is knocking on the door of $1,800, and silver is pushing up toward $35.50. There was a flood of hot money that had been on the sidelines which came roaring back into the market. While hard assets were flying high, the US dollar continued to break down.
Of course anybody that was positioned on the short side of the metals was simply run over when the news hit the wire. Those shorts were panicking out of their positions and more buying poured in the throughout the day….