NexusFi: Find Your Edge


Home Menu

 





Metals


Discussion in Commodities

Updated
      Top Posters
    1. looks_one Sagal with 47 posts (28 thanks)
    2. looks_two SMCJB with 32 posts (54 thanks)
    3. looks_3 myrrdin with 22 posts (17 thanks)
    4. looks_4 Schnook with 8 posts (17 thanks)
      Best Posters
    1. looks_one Schnook with 2.1 thanks per post
    2. looks_two SMCJB with 1.7 thanks per post
    3. looks_3 myrrdin with 0.8 thanks per post
    4. looks_4 Sagal with 0.6 thanks per post
    1. trending_up 32,445 views
    2. thumb_up 131 thanks given
    3. group 31 followers
    1. forum 137 posts
    2. attach_file 29 attachments




 
Search this Thread

Metals

  #91 (permalink)
 
SMCJB's Avatar
 SMCJB 
Houston TX
Legendary Market Wizard
 
Experience: Advanced
Platform: TT and Stellar
Broker: Advantage Futures
Trading: Primarily Energy but also a little Equities, Fixed Income, Metals and Crypto.
Frequency: Many times daily
Duration: Never
Posts: 5,048 since Dec 2013
Thanks Given: 4,381
Thanks Received: 10,205


mongoose View Post
Just playing around with TPO charts from Tradovate after watching their webinar last week, decided to pull up the SIH1 chart. Showing 14,500 contracts traded in the first 30 mins vs under 1k last Sunday evening.

Yeap volume overnight was higher than it was all day Friday!


Sagal View Post
We have made strategic decisions to procure additional metal, locking up any metal we can find in the market place. We suspect premiums will rise and rise quickly, as we are seeing significant increases in our costs, when we can even locate the metal. It is also highly likely that we will need an additional day or two to fill orders based on current order counts. The one guarantee we can make to our customers is that you will only be sold metal that is on-site, or we have procured the metal with a firm commitment date from our partners.

ie.. we are ready and fully prepared to make as much as possible from the spot premium that we expect to materialize.

Reply With Quote

Can you help answer these questions
from other members on NexusFi?
Better Renko Gaps
The Elite Circle
MC PL editor upgrade
MultiCharts
Trade idea based off three indicators.
Traders Hideout
ZombieSqueeze
Platforms and Indicators
Pivot Indicator like the old SwingTemp by Big Mike
NinjaTrader
 
Best Threads (Most Thanked)
in the last 7 days on NexusFi
Diary of a simple price action trader
26 thanks
Just another trading journal: PA, Wyckoff & Trends
24 thanks
Tao te Trade: way of the WLD
22 thanks
My NQ Trading Journal
16 thanks
HumbleTraders next chapter
9 thanks
  #92 (permalink)
 
SMCJB's Avatar
 SMCJB 
Houston TX
Legendary Market Wizard
 
Experience: Advanced
Platform: TT and Stellar
Broker: Advantage Futures
Trading: Primarily Energy but also a little Equities, Fixed Income, Metals and Crypto.
Frequency: Many times daily
Duration: Never
Posts: 5,048 since Dec 2013
Thanks Given: 4,381
Thanks Received: 10,205

Surprisingly in the end Volume was less than double Friday!

Some wild prices in the spreads - mainly due to illiquidity I suppose. HK had a 53c range, KN 30c, NU 17 and UZ 21c.

On another note CME Gold Margins going up 10% effective Feb 2nd from $11k to $12.1k. Non-member margins probably 110% of this. Didn't see anything about Silver.

Reply With Quote
  #93 (permalink)
 
Schnook's Avatar
 Schnook 
Munich, Germany
 
Experience: Advanced
Platform: Sierra Chart
Broker: Interactive Brokers
Trading: liquid products
Posts: 570 since Jul 2016
Thanks Given: 1,166
Thanks Received: 1,917


Meanwhile, gold trades an inside day on lower volume and copper prints a little doji right in the middle of last week's range.

Without any participation from either industrial or precious metals, I'd be extremely skeptical of this silver spike. And I certainly wouldn't be paying a large premum for spot right now.

In fact, I'd be almost tempted to look at the GC/SI spread here

Reply With Quote
Thanked by:
  #94 (permalink)
Sagal
Strasbourg, France
 
Posts: 126 since Mar 2019
Thanks Given: 42
Thanks Received: 96

Without Gold participation, it is very difficult for Silver. 28-30 is a strong resistance area. On top of that I noticed that reddit community is quite divided on the Silver issue. I took some profits (micro futures part) and I am prepared for a better entry..."Rolling over" in my mind doesn't mean I am always in anyway but signals more an intention to get in contracts after contracts with each good opportunity...My target for Silver is 36

PS I didn't want to write it before confirmation but effectively on top of that CME/COMEX raised margins request on Silver futures effective end of this day

Quoting 
The Chicago Mercantile Exchange, which operates trading in New York of silver futures and options, said it was raising the margin required to trade silver futures after what it said was a “normal review of market volatility to ensure adequate collateral coverage.”
Analysts warned that the music might stop for retail buyers of silver sooner than it would for small-cap stocks like GameStop. Silver is a significantly larger market and may make it harder to drive prices higher.
“We believe the new entrants into the market may tire and begin to liquidate silver holdings, with a commensurate price impact. Buyer beware,” said James Steel, chief precious-metals analyst at HSBC, in a note late Monday.
The change will come into force after the end of trading Tuesday.

from WSJ

Reply With Quote
  #95 (permalink)
 
SMCJB's Avatar
 SMCJB 
Houston TX
Legendary Market Wizard
 
Experience: Advanced
Platform: TT and Stellar
Broker: Advantage Futures
Trading: Primarily Energy but also a little Equities, Fixed Income, Metals and Crypto.
Frequency: Many times daily
Duration: Never
Posts: 5,048 since Dec 2013
Thanks Given: 4,381
Thanks Received: 10,205

Maybe I missed it but the CME announcement I saw on Silver margins effected Option Volatility scanning ranges and not margin on the actual futures.

Reply With Quote
Thanked by:
  #96 (permalink)
TraderNeo
piscataway NJ USA
 
Posts: 28 since Mar 2017
Thanks Given: 1
Thanks Received: 15

2021 is the year of metal per Chinese astrology. Good luck traders

Reply With Quote
  #97 (permalink)
futurestrader9979
Los Angeles
 
Posts: 16 since Feb 2021
Thanks Given: 3
Thanks Received: 3

Palladium is primarily used in catalytic converters for cars. It is surprising to see the price increase as the demand for gas powered vehicles will decline significantly in the next decade and onwards.

Reply With Quote
  #98 (permalink)
futurestrader9979
Los Angeles
 
Posts: 16 since Feb 2021
Thanks Given: 3
Thanks Received: 3

Silver is being treated like GameStop in which retail investors have identified the massive short positions on the commodity. I have an account in reddit and they are talking about purchasing silver to cause another short squeeze in the market to weed out hedge funds

Reply With Quote
  #99 (permalink)
Sagal
Strasbourg, France
 
Posts: 126 since Mar 2019
Thanks Given: 42
Thanks Received: 96


SMCJB View Post
Maybe I missed it but the CME announcement I saw on Silver margins effected Option Volatility scanning ranges and not margin on the actual futures.

I cannot find the exact statement from CME but it is clear that Maintenance margin is now 16500 usd
https://www.cmegroup.com/trading/metals/precious/silver_performance_bonds.html#sortField=exchange&sortAsc=true&clearingCode=SI&sector=METALS&exchange=CMX&pageNumber=1

It is also all over the place that the increase is 17.9% (bloomberg, wsj etc,)
From Kitco:


Quoting 
"The precious metal complex (gold, silver, platinum, and palladium) traded under pressure, with all precious metal futures contracts closing sharply lower on the day. Silver futures sustained the largest drawdown, with the most active March contract losing $2.70, a decline of 9.17%, and is currently fixed at $26.71. This action followed the Chicago Mercantile Exchange (CME) decision to raise the margin requirements needed to trade a single contract of Comex silver by 18%. The former margin requirement of 14,000 per 5000 ounces per Comex contract to $16,500."

https://www.kitco.com/commentaries/2021-02-02/Silver-plummets-and-gold-sells-off-sharply-following-the-CME-margin-hike.html

It is clear that it is extremely difficult to corner Silver's market as clearinghouse (CME/COMEX and others) can increase at will the requirements for margins. Success remains possible with a long term approach where individuals will buy more and more physical silver, gold, platinum as well as physical ETF of the same and as well with precious metals miners, keep them and then...prices will go up...and stay up...

I have the confirmation by several sources that Silver is also concerned by the India government decision to decrease import custom duty to 7.5% (instead of 12.5%)
https://timesofindia.indiatimes.com/business/india-business/budget-2021-government-cuts-import-tax-on-gold-silver-to-7-5-from-12-5/articleshow/80628402.cms.

Reply With Quote
  #100 (permalink)
 
SMCJB's Avatar
 SMCJB 
Houston TX
Legendary Market Wizard
 
Experience: Advanced
Platform: TT and Stellar
Broker: Advantage Futures
Trading: Primarily Energy but also a little Equities, Fixed Income, Metals and Crypto.
Frequency: Many times daily
Duration: Never
Posts: 5,048 since Dec 2013
Thanks Given: 4,381
Thanks Received: 10,205




My apologies. Your right I missed it. CME sent out two Performance Bond Requirements for Metals on Feb 1st. The first (https://www.cmegroup.com/content/dam/cmegroup/notices/clearing/2021/02/Chadv21-047.pdf) included margin changes in Gold, Platinum and changes to the Silver volatility scanning range. The second (https://www.cmegroup.com/notices/clearing/2021/02/Chadv21-048.html) included the Silver margin changes. I missed this one (probably thought it was a duplicate of the first one).

Reply With Quote
Thanked by:




Last Updated on April 5, 2022


© 2024 NexusFi™, s.a., All Rights Reserved.
Av Ricardo J. Alfaro, Century Tower, Panama City, Panama, Ph: +507 833-9432 (Panama and Intl), +1 888-312-3001 (USA and Canada)
All information is for educational use only and is not investment advice. There is a substantial risk of loss in trading commodity futures, stocks, options and foreign exchange products. Past performance is not indicative of future results.
About Us - Contact Us - Site Rules, Acceptable Use, and Terms and Conditions - Privacy Policy - Downloads - Top
no new posts