Why Friday is Very Big for Gold and Silver

End of Week, Month, Quarter, and 1/2 Year. .Four closing candles tied to one single day. This is a Quad Re-allocation moment for Macro Discretionary type players

2- What is different?

There had been little to no Macro discretionary interest in Gold or Silver for over a decade. But this year, after the November 2023 settlement and increasing their footprint in March of this year,  they are trading it watching it, and most importantly, making money in it.

3- What Else?

The Bullion Banks traders are not as confident as they once were in their pecking order position. Historically, they like to paint this quad date to dissuade Macro Discretionary from taking interest. If that happens, then afterwards usually “Sell-season” starts by  late August and Gold seasonally dips until November. But this time, Bullion Banks are dealing with the big Macro boys *already* interested and potentially destroying the seasonal dip in Gold from Fund liquidation Banks  have come to rely on

4- Bullion Bank Bias:

The Bullion banks are increasingly weak  on sell-side orderflow given the lack of origin  producer hedging these past 2 years.  Some ,we are told, have definitely lost their edge, so to speak. Some have smartly pivoted in this changing market. The difference between those two types lies in who has the buying flows and who is flexible in their trading style. This is especially true on the options front.

BiS: You Must Not Pass (so quickly)….

But.. and this is a big but.. The Bullion Banks still have that back-stop in the form of the BiS which already rescued them on December 4th, March 21st, April 12th, and May 20th. (Based on information and belief). Yet the fact remains, at least one Bullion Bank actually needs rescuing these days.

Continues here