The CME has done it once again!
Margin requirements for gold will be raised by 22% at the close of business tomorrow, Thursday August 11th, 2011.
A little ironic that a CME is also a coronal mass ejection from the sun illustrated by the picture above, courtesy of lasp.colorado.edu, which can damage the earth if large enough. Let’s see how much damage this CME does tomorrow.
For all small investors that would not be able to meet a margin call and just entered the gold market within the last week, get out if you can, a correction may be coming. If your financially sound enough to meet the call hold your position and don’t be shaken out.
The currency war that none have spoken of for some time is still going on, and this is a battle being waged by the CME. This can also be looked at like the admittance of gold as a currency since it’s being included in what seems like a basket of international currencies margins being adjusted as well
Hold your positions if you can, the manipulation may soon be over and gold can be exchanged for whichever currency wins in the end.
Buy physical gold, no paper. Be sure you can acquire the yellow metal through the investment vehicle you choose and not be left with a worthless piece of paper if metal is called home.
Disclaimer: Although suggestions are made these are opinions and views from the writers and contributors of PreciousMetalNews.com and should not be used as concrete advice. PreciousMetalNews.com can not be held responsible for any actions or moves taken and made based on the information found here. If you need help, we suggest you seek professional advice from experienced traders.
Read the official statement from the CME here;