JP Morgan Just Closed Its Silver Short — And This COMEX Document Explains the Violent Move

Silver

just experienced

a forced repricing event and uh we are

going to be looking in a very

interesting document.

It is comx delivery data and it tells

you exactly who was on the wrong side of

this move and would just exited. And

this is how you know the real market

structure reveals itself

and you can see the key details at the

top. So this is the exchange

the contract February 26 5,000

5,000 ounces of silver futures

settlement price intent date and

delivery date. This is not paper

trading. This is a delivery intent.

So that means that the contracts

are either issued, someone is delivering

silver or stop, someone is taking

delivery or closing exposure.

This is where short positions either

stand or fold.

Each row that you're seeing

uh shows the institution

whether they're acting as a house or

customer, how many contract they stop

and one contract is 5,000 ounces of

silver. Now focus your attention here.

JP Morgan Securities.

You see that, right? It's circled in

red. JP Morgan securities 633

contracts.

Again, one contract is 5,000 ounces of

silver.

So, this is 3 something million ounces

of silver. And the key word here is

stopped. And this mean that the position

is no longer short. Uh exposure has been

closed and pressure has been released.

This is uh you know this is what they

did. So markets don't move because of

opinions. They move because positions

get unwound. I mean you know prices go

up and down because what people do if

you buy the price go up. If you sell the

price go down for years

JP Morgan has been associated with

structured silver shorts.

I've done a video on that in the past

and uh market market making dominance

and and being active on comics. So when

a player of this size closes a short, it

does two things simultaneously.

It removes downward. No, just to be

clear that the short you're basically

you're basically

speculating

that the price is going to go down and

you're going to make money when that

happens. Now, let's connect this to the

chart below. So, you could see what

happened and then [laughter]

this this is obviously silver and you

know what happened on silver on

Thursday. There was a strong upward

trend with silver as we know and higher

high and and then and then suddenly a

near vertical sell-off. Boom. Price

collapses into the $78 zone exactly

where the com settlement price is

printed. So this is not it's not random.

This is a force liquidation into

delivery settlement.

That's what happens when shorts exit

liquidity caps appear and price

overshoots.

I told my my uh my members uh today what

my thoughts were on gold and silver.

The market didn't change its mind. It

closed its books.

So here's the the counterintuitive truth

here. The more the most violent silver

selloff historically occurs near major

bottoms, not the tops. Why? Because

silver is thinly traded,

leverage sensitive and structurally

constrained.

So when large shorts as these, you know,

those negative trades such as these,

price often drops first then stabilizes.

So this is not a collapse. This is

basically we are resetting the market

structure. And and most people will say,

"Oh my god, silver broke support." uh uh

and the professional usually what we say

is who was forced to act.

The document answers that question. The

dominant short is gone. That changes

the entire forward curve.

The move right this the next move won't

be slow. Silver never is.

So if you're waiting for silver to film

calm, you're going to miss the move.

Real signals don't come from the price

alone. They come from who exits the

battlefield. And this document tells you

someone very large just did.

mean look at the chart.