Option Expiration Day

We tried to warn last week that another move backward was likely, given this week's expiration calendar. The hope is that Comex gold will not see a trip all the way back to the $2541 lows, while concern exists that Come silver might revisit its lows from two weeks ago. And now here we are.

Peace and rumors of peace are being used as cover for the usual option expiration day smash. At today's Comex close, options on the Dec24 gold and silver contracts will expire and price. Back on Friday, we looked at the total open interest numbers and tried to find a sweet spot without much...