Metanor Resources MEAOD

RE: RE: RE: RE: OK RATTLED BRAIN

[JRaffles]

The following is an extract from a comprehensive report on Adrian Douglases website referred to below. The particular report is titled :-

www.marketforceanalysis.com

Gold Market is not "Fixed", it’s Rigged

The article contains tabulated data and charts which are quite compelling.  Therefore, I suggest that anyone with an interest in this subject should review this very clear report.

Figure 4 is a cross-plot of the cumulative intraday gold price change against the cumulative overnight gold price change. The chart shows that the cumulative amount that gold has declined between the AM Fix and the PM Fix at any time in the last nine years displays a linear correlation with the cumulative amount that gold has risen from the PM Fix to the following AM fix for the same period. The correlation coefficient R2 is 0.95 which is very close to a perfect correlation of 1.0.

This shows that someone is consistently selling down the PM Fix and the amount of the cumulative sell down is almost perfectly linearly proportional to the cumulative amount by which gold trades up overnight. That can not happen by chance.

Table 2: UP & DOWN Days for Intraday & Overnight www.marketforceanalysis.com

Table 2 shows the total number of up days and down days for both the intraday and the overnight trading from 2001 to 2010. There is a striking contrast. In fact there is almost a mirror image where the number of up days overnight is very similar to the number of down days intraday. The probability of getting this contrasting result at two different times in the same 24 hour period, in the same commodity market, and over a 9 year period is approximately one in 2.6 x 1031. In other words it is practically impossible for such a divergence of data to occur by chance, let alone for the divergence to have a nearly perfect correlation.

This is in fact a very sophisticated market manipulation that is conducted to minimize the chances of being noticed by a casual observer. In Table 1 it can be seen that gold is not systematically sold down the day following an overnight rise. It is programmed and executed over several days which is why it is only clearly revealed by looking at the cumulative changes over time. In figure 5 it can be seen that the AM Fix data and the PM Fix data appear to almost overlay. This is because the average difference between them is managed.