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Sunday, January 8, 2023

SUNDAY UPDATE: THE ENIGMA THAT IS GOLD

 

“Gold trading … what’s the problem!!?”

There is a difference in how gold is traded versus every other “so called” market

on the MT4 or MT5 … markets in traditional FX in the spot market are dominated

by scumbag banks, usually BFF with the appropriate central bank, and are

therefore the main FX LP’s [Liquidity Providers]… CFD’s in everything else are

usually dominated by HFT’s [High Frequency Trading firms], although banks can

be LP’s here but usually aren’t … make no mistake, they can fill your order

anywhere they want, and there isn’t a “Hoover Dam” thing you can do about it

… liquidity providers will NEVER change a fill price … EVER … that would be

admitting guilt that their system is crooked … instead, the system is set up for

the middleman brokerage house to determine whether or not to compensate you

for shit fills based on how big a volume you do … the banks & HFT’s want

nothing to do with you.


What makes spot gold different for trading  is that it’s governed and strictly

administered by the LBMA [London bullion Market Association] … what that

means is that gold LP’s will only be LBMA member firms … you won’t see

XAUUSD [the spot LBMA symbol for gold] on any platform where others are

allowed to make a market … as such, there’s a general consensus day-to-day

RE bid / offer spreads … while they may be different by a few pennies, generally

speaking you stand less of a chance of getting ripped on an order fill in gold than

you do in FX or something like any of the “Stock Bellies” [world indices]

… therefore, there’s a consistency other markets lack … sure, on news, gold

can/does go bat shit crazy [BSC], just like every other market, but the general

“scumbaggery & fuckery” that goes on in other markets is LARGER than in gold

… and this is born out of personal experience as well.


My guess is, offshore brokerage houses generally avoid doing business and

having orders filled with U.S. domiciled LBMA firms … e.g., JPM, Citibank, Bank

of America, and there are others as well … the reason is simple … it might mean

scrutiny from U.S. regulators … better to have NON U.S. LBMA firms do the

clearing for the brokerage house, with firms that have nothing to do with the U.S.

and are from every other civilized country in the world [e.g., Switzerland,

Germany, etc.] … and as we all should know, CFD’s aren’t allowed to be offered

to U.S. citizens or residents by financial firms, cuz they got outlawed when

Preezy Empty Suit was in charge … this was Obama’s bone to the CME in

Chicago back in 2010 … out of this legislation came the infamous FATCA

[Financial Account Tax compliance Act], and is one of the main reasons pretty

much ALL offshore brokerage houses that accept fiat [U.S. dollars] via bank wire

transfer or debit/credit cards to fund trading accounts WILL NOT OPEN AN

ACCOUNT FOR ANY U.S. CITIZEN OR RESIDENT … it’s not worth having to

comply with idiotic U.S. bullshit, so they simply exclude you … enter crypto,

specifically Bitcoin and stablecoins like Tether, and now anybody can open a

trading account with just an email address … of course, many still publicly

state officially that no U.S. people can open accounts via their websites, but

that’s a big fat lie … use private, anonymous, and secure email, along with a

decent VPN, and you can be anybody you want to be from any country you

want … nobody cares, they just want the biz! … send in some crypto for deposit

and within minutes your account is funded and you’re trading … and in that

offering of markets, you’ll see XAUUSD.


Granted, there may be a very slight difference between market makers and/or LP’s

at the LBMA when it comes to the spread … a few pennies per Oz. … overall, that

won’t matter with the way gold moves for a spec trader, but if you’re the dealer

doing millions of OZ., and perhaps tens of thousands of trades a day, it matters

greatly.


I’m still in the slow burn stage from Friday’s trade … 1) I got to spend time

showing the receipts to a brokerage house that doesn’t give two rat fucks about

fills on SP500 orders … that eats up time … 2) meanwhile, gold is skyrocketing,

giving off great version 2 algorithm buy signals that I’m not only NOT seeing, but

missing cuz I’m dealing with Idiots & Dopes at Coinexx … and 3) not the least of

which I’m sitting here at trader central HQ, here in the Caribbean, and the Mrs. &

Miss Gimpy are getting rich from being long gold, while I’m in the midst of

brokerage house bullshit up to my eyeballs … pretty soon, I’m gonna be the one

asking for an allowance from the Mrs.!


I so wanted the “Spoos” CFD to be competitive with futures … but the second you

raise your lot volume levels, here they come to mug, rob, rape, and then shoot you

in the head and leave you for dead … name the market from FX to “Stock Bellies”,

and in every single case I’ve been lied to at every turn, and the slippage is getting

worse not better … only in gold have we been fairly treated, and that’s cuz of the

uniformity of the spread versus LBMA members … there’s no enigma to gold any

longer!


Quite frankly, with the way 2023 has started out in gold, which to some extent has

surprised me with its instant VIX ramp right out of the new year gate, going

forward in the new year I don’t see VIX going significantly lower anytime soon

… patches of sloppy VIX maybe, but given central bank demand, inflation out of

control everywhere, and governments going full retard QE soon cuz of slowing

economies, I don’t see any of that translating into slower trading action

… especially given the enormous appetite for gold by the Ruskies, Chicoms, and

India, to name just 3 … even countries like Ghana & Nigeria are buying gold

… the game plan for the Ruskies & ChiComs remains the same … defeat the West

by converting their respective fiat currencies convertible into gold bullion, and

watch the U.S. crumble into oblivion towards Venezuela … and when OPEC finally

gets around to pricing oil in Yuan, the gig is up for the U.S. … watch what

happens to gold then.


Over these past weeks and months, I have attempted to trade other markets that

appear on the surface to have an advantage over gold from a trade perspective

… and in every case, it’s an illusion of LP deception … even crude oil has

disappointed … phantom or too high spread quotes, hidden slippage, and if that’s

not enough from the trade logistics side of the equation, totally inconsistent VIX

manufactured by central banks for manipulation … well, no more of that! … I’m

not gonna go as far as to say I’m never gonna trade other markets, cuz things do

change, and the trading biz is always rife with change … but it’s gonna take a

Herculean effort to get me out of gold and into something else … 2023 needs to be

a year of tremendous profits, and the one market that’s gonna get us there is gold

… turn the machines on Mortimer, it’s time to make hay!


Directly below, the 20 Day Range MA’s for selected markets.


click on table to enlarge

… OUTTA HERE … “The future’s so bright I need 2 pairs of sunglasses 😎😎,

and my own Brinks armored truck” 💓!! … Onward & Upward!! 


-vegas





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