DCN (ASX) Falling Wedge Fails

Originally posted by Greenflint: ↑

Actually my statement is based on the correlation between GP and (Inflation - 10yr Treasury Yield) and not so much as what had been reported. Below is the correlation:

The blue line is - (10yr Treasury Inflation-Indexed Security) or (Inflation - 10yr Treasury Yield).

However I do recognise and agree with you that clearly there are manipulation by the bullion banks because based on what had happened across the world economies and financial events, one would expect GP to take off. Beside the sharp drop, there is a clear pattern that shows the Aussie/Asian market on gold is consistently rising but when it comes to the London/US trading window, GP get smashed (a lot more often than rising and more severe). That goes to show that the gold bullion market are being manipulated by the bigger bullion banks in EU and US and they are basically the price maker whereas the Aussie/Asian markets are price taker and more reflective of the gold price trend.

Will there be anything that can prevent this price manipulation? My gut feeling is there is none: the Basel 3 85% NSF on gold for the EU bullion banks had became a non-event and it is likely that the next one applicable to LMBA and US market in early 2022 will not have an ounce of impact on the banksters.

The possible turnaround event for gold is a high September inflation figure to be released on 13th October. Even this inflation figure is manipulated and therefore I am not holding my breath that it will push up gold price unless it is extremely bad such as in the 7-8% range.

In short, frustration is what gold stock investors are feeling at the moment.

GLTAH.

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I stand to be corrected Greenie, but the Basel 3 regulation of 80% physical Au is effective in the UK on 01/01/22 and in the US 01/06/22, so a long way to go yet.

As to manipulation, there are many theories i.e. Bullion Holders, Bond traders >>>. Who knows? All I know (along with a multitude of others) is IT IS.

Note though, those of my generation and history watchers may remember the Bunker Brothers tried to do the same thing with the Tin market many decades ago which ended badly for them. So I agree in principle....it's what people start to believe in as appropriate security compared with other investments AND forget the NOISE. That is why jewelery shops in China have recently seen a strong upturn in sales.

The journey continues.