Numerous One-Way Bets Are Getting Clobbered In Today's Commodity Sell-off (Silver/Gold all down)

Business Insider ^ | 11/16/2010 | Joe Weisenthal

[WebFocus]

UGLY.

That's the only way to describe the scene in the commodity world today, as a dismal night in China, and a strengthening greenback continue to make the speculative froth go away.

A few notable moves, via FinViz:

Silver is off 3.5%

Soybean Oil is off over 4%

Wheat is off over 2%

Coffee is off over 3.6%

Here's the key thing to know... prior to the big selloff that started Friday, speculators were universally positioned to be long these commodities (and short the dollar), and so there wasn't much direction for this to go, and not surprisingly, the selling is furious.

[dollarbull]

Ever read much about Jay Gould? Believe me, people like him are still around.

I'll take Jay Gould over Lloyd Blankfein and "the Bernank" any day.

[dollarbull]

Ever read much about Jay Gould? Believe me, people like him are still around.

I'll take Jay Gould over Lloyd Blankfein and "the Bernank" any day.

[dollarbull]

Yeah, gold is going up forever.

Who said that? Gold will go up "forever" against the $US though - that currency will see its end and be replaced by some kind of world currency.

You will wake up one morning and your gold will be down 300 bucks and that will just be the start of the spiral. You’ll want to buy it cheap.

Right...

Have fun...I buy and sell in the middle long and short...you have fun trying to guess the bottoms and tops rookie.

Sure you do Gordon Ghecko. LOL

[dollarbull]

If you believe that then you've bought gold futures, otherwise you're just chatting. Here are the facts: rbmillerjr took profits on gold, nobody ever went broke taking a profit, and lots of people have gone broke 'knowing' a price was going up when it didn't.

CRIMEX futures are rigged. Anyone that buys paper gold there, and especially on margin will get wiped out by the PPT manipulation.

I'll take profits when the gold market starts to become a mania/bubble. We are far from there.

[rbmillerjr]

“Sure you do Gordon Ghecko. LOL”

If you actually knew what you were talking about, you’d laugh at your own statement. My statement below is the anti GGhecko, bagholder. You see, the people who think they can call a top or bottom and hold on with their instincts almost always lose. Emotion and opinion can’t win in the long run...the market is always right. Investors who hang on for a small ride, never get crunched in half like rookies like you.

‘Have fun...I buy and sell in the middle long and short...you have fun trying to guess the bottoms and tops rookie.’

Good luck timing that out on gold.

[expat_panama]

Good luck timing that out on gold.

Some people do well timing commodity markets and I say more power to 'em.  I don't, and over time gold just hasn't done all that well compared to other more stable investments.    Let's say $100 is invested in 1950.   With gold it's worth almost $4,000 but with stocks it's over $52,000.

[dollarbull]

If you actually knew what you were talking about, you’d laugh at your own statement. My statement below is the anti GGhecko, bagholder. You see, the people who think they can call a top or bottom and hold on with their instincts almost always lose. Emotion and opinion can’t win in the long run...the market is always right. Investors who hang on for a small ride, never get crunched in half like rookies like you.

Actually "jr", I do know exactly what I'm talking about. And I did get in at the bottom. I haven't sold anything yet and it's been a hell of a decade thank you very much. I will start scaling out of my position around DOW:GOLD 1-3.

[dollarbull]

I don't, and over time gold just hasn't done all that well compared to other more stable investments. Let's say $100 is invested in 1950. With gold it's worth almost $4,000 but with stocks it's over $52,000.

gold is not an investment. gold is money. gold is where you park your wealth when you don't trust the gov't and the banks.

BTW - what's your definition of "long term"? Gold's crushed stocks for 10+ years and that trend isn't done yet. I wasn't around in 1952 to buy gold, but I was around to spot the secular shift from paper to hard assets early last decade.

I'm still laughing about Jr's self-described rockstar investing skills. haha. He probably went long GM on IPO day after listening to Cramer pump it.

[rbmillerjr]

“gold is not an investment. gold is money. gold is where you park your wealth when you don’t trust the gov’t and the banks.”

You’re not an investor, you’re a cultist lol. Your name cries, “please take me I’m a sucker”.

Gold is an investment. It can be part of a portfolio of investments. It’s not a political tract.

[dollarbull]

You’re not an investor, you’re a cultist lol. Your name cries, “please take me I’m a sucker”.

I hope I'm as much of a sucker in the coming decade as I was in the last one (i.e. way long gold). Already at critical mass and don't need to work any longer unless I want to, thanks to gold bullion and mining stocks - how about you?

Good luck with your trading - LOL. You probably lost you a$$ in the tech bubble and the housing bubble.

[rbmillerjr]

“don’t need to work any longer unless I want to”

Sure, you are George Soros manipulating and making millions on your gold reserves.

I believe it.

[dollarbull]

Sold my GLD 2 months ago. The market is stabilizing...not recovering yet, but stabilizing...gold is done imo.

Great move Ghecko. Did you sell your silver too?

[dollarbull]

Sold my GLD 2 months ago [november 2010]. The market is stabilizing...not recovering yet, but stabilizing...gold is done imo.

$1600? Not done by a long shot. Great job junior!