Okay, what the heck does “Fat Finger Frenzy” mean?
It’s a euphemism for trades that can’t be logically explained.
At the same time, it destroys “reprices” a certain asset substantially lower. (In Plain English, it kills the price because someone won’t take their “Fat Finger” off the sell button).
This happens more than you realize but it’s rarely mentioned by the Whores-of-Babble-On Presstitutes. Instead, it’s treated like a non-event.
“Nothing to see here, move along.”
Typically, it happens when you’re asleep (Like Sunday night during overseas trading) which is another reason it gets very little attention.
The main target of the Fat Finger Frenzy?
Ex: A few weeks ago, someone decided to sell $2.2 Billion of paper gold in under ONE MINUTE. (That’s about 50 TONS or 1.8 Million ounces of gold.)
How many people have 50 tons of gold sitting around? Even if they did, who in their right mind would suddenly decide to sell all 50 tons in one minute?
NO ONE would do something so stupid. Any trader with half a brain would feed their gold into the market in small increments.
Here’s the secret…they don’t actually sell physical gold, they sell paper gold in the form of futures contracts.
Ironically (or NOT) the only group with the clout to sell that much paper gold are the central banks (banksters)
“Why would they do that?”
By keeping the price of gold lower, they’re allowing a HUGE player to load up on gold at a major discount.
Someone is buying tons (literally) of gold…and the price is quietly breaking out to new highs.
However, if we see a beat down in the gold price you can bet that the “Fat Finger Frenzy” is at work.
Learn how to profit from owning gold AND mining stocks in 2020.