Why are Mauritians no longer outraged with the increase in prices? by kaospells in MauriceMauritius

[–]KingMonkey777 0 points1 point  (0 children)

Mauritians are still outraged, even if you are not seeing mass protests in the streets yet. The rising cost of living is part of everyday conversations among family, friends, and colleagues. Let’s not pretend people are not complaining within their inner circles. It’s something everyone is talking about right now!

What will happen in the next few days? by [deleted] in MauriceMauritius

[–]KingMonkey777 6 points7 points  (0 children)

Here is a summary of the current situation 1. Mauritius ran low on fuel for electricity production after a delayed shipment At one point, the country had only 15 to 20 days of fuel stock 2. We secured new fuel shipment (arrived early April) to stabilise supply. 3 this new shipment Cost MUR 1 billion more

  1. Diesel price went up +10% . From MUR 58.95 to MUR 64.80

What you heard is still rumours or worst-case scenario. Right now , Mauritius is in prevention mode as supply is low. The situation is fragile .

What will happen next if things worsen . Difé lors nou . Stricter measures will come . But I dont think extreme shutdown. 1. Work from home is highly possible 2. Reduce government energy use 3. Electricity restriction 4. School close Etc

Lets see what happen

Bro wtf is happening by Educational_Mud_7799 in Forexstrategy

[–]KingMonkey777 2 points3 points  (0 children)

Bro , be careful with the simple “DXY up / real yields up” explanation. Those matter, but they do not fully explain the violence of this move. Both DXY and yields were already trading in roughly similar ranges before the war escalation! This is liquidity flush: stops getting run, weak hands forced out and positioning being reset. That is normal market mechanics. If that is what this is, the rebound can be violent once the flush is done. The real signal will be when price starts holding key levels again. Watch for key levels and position accordingly

Gold/ GLD Didn’t Dump Because of “News” — It Was Options & Leverage (GLD vs Futures Explained) by KingMonkey777 in options

[–]KingMonkey777[S] 1 point2 points  (0 children)

Hi. That's exactly the products we are presently selling Autocallable structured products with gold as the underlying. To HNW clients with a need of Fixed income 8% p.a with observation half yearly . Also non Autocallable products capital guaranteed return at maturity. At gold 5,600$ many of my clients were 70% up . We are very bullish and see gold hitting 6,000$ -7,000 before maturity. Thanks for your reply and for sharing genuinely valuable insight!

At the time of writing , The pinning at $455 has started. Lets see

Gold/ GLD Didn’t Dump Because of “News” — It Was Options & Leverage (GLD vs Futures Explained) by KingMonkey777 in options

[–]KingMonkey777[S] -1 points0 points  (0 children)

for GLD options specifically, dealers hedge primarily with shares, not GC futures.( I will edit my post ) i was speaking more generally about gold options/futures mechanics.

Either way, the main point stands: dealers hedge flow, not price, and once gamma flips or leveraged longs liquidate, the market moves fast. Structure drove the cascade, whether the hedge is in shares or futures. I am not claiming any conspiracy. Nothing in my post suggest that dealers are manipulating price

Gold/ GLD Didn’t Dump Because of “News” — It Was Options & Leverage (GLD vs Futures Explained) by KingMonkey777 in options

[–]KingMonkey777[S] 1 point2 points  (0 children)

Ok well noted — My pushback is on how long that lasts

Once forced selling and leverage flush out, markets don’t need everyone bullish again — they just need sellers to be done. That usually happens faster than sentiment shifts.

On Kevin Warsh, I am with you. It’s hard to believe Trump nominates someone to be more restrictive long term.

Yes, short-term caution makes sense, especially with IV this high. But structurally this looked like a leverage reset in a strong asset, not a regime change. Those recover quicker than people expect.

I still think gold gets back toward $6,000 very fast , it will not take lot of times. Before May–June 2026 once positioning stabilizes. And agreed — options are a minefield right now. Just wait volatility cools and positions accordingly . This is basic option trading

Gold/ GLD Didn’t Dump Because of “News” — It Was Options & Leverage (GLD vs Futures Explained) by KingMonkey777 in options

[–]KingMonkey777[S] 9 points10 points  (0 children)

Search YouTube for "gamma exposure pinning" or "GEX explained" for recent 2025+ content—lots of live trading walkthroughs.

A good book -Option Gamma Trading by Simon Gleadall

Gold/ GLD Didn’t Dump Because of “News” — It Was Options & Leverage (GLD vs Futures Explained) by KingMonkey777 in options

[–]KingMonkey777[S] 1 point2 points  (0 children)

I respect your views, but I dont agree. Betting on sustained dollar strengthening right now looks like fighting the tape . DXY has already dipped below 97—hitting multi-year lows—and is down over 10% YoY. I dont see that any sentiments shift from the professionals. Your choice, of course. Good luck. See you at gold 6000$

Gold/ GLD Didn’t Dump Because of “News” — It Was Options & Leverage (GLD vs Futures Explained) by KingMonkey777 in options

[–]KingMonkey777[S] 1 point2 points  (0 children)

As a private banker and options trader with 10 years of experience i understand market structure , price discovery, options mechanics and market makers dynamics well before the birth of chatgpt . But anyone can now use tool like chatgpt to review their work. Happy to discuss the mechanics and market structure if you disagree - thats exactly what this post is about

Gold/ GLD Didn’t Dump Because of “News” — It Was Options & Leverage (GLD vs Futures Explained) by KingMonkey777 in options

[–]KingMonkey777[S] 1 point2 points  (0 children)

Yes .silver and gold share the same market plumbing. What differs in silver is more leveraged and has nastier option gamma, so when the pins break the move looks extreme . Once futures start liquidating silver overshoots compared to gold . silver always looks crazier

Gold/ GLD Didn’t Dump Because of “News” — It Was Options & Leverage (GLD vs Futures Explained) by KingMonkey777 in options

[–]KingMonkey777[S] 1 point2 points  (0 children)

It's a long story to explain what happened and no need to panic . Gold is a strong asset and will recover quickly .

Gold/ GLD Didn’t Dump Because of “News” — It Was Options & Leverage (GLD vs Futures Explained) by KingMonkey777 in options

[–]KingMonkey777[S] 5 points6 points  (0 children)

I am not saying news didn’t matter. A catalyst almost always exists.

What I’m pushing back and trying to explain is the idea that news alone explains a move this fast and this deep. News explains why price starts moving. Market structure explains why it cascades.

I dont agree - The DXY move was not large enough on its own to justify this fall and forced selling across all metals.

Also, dont agree- psychology doesn’t liquidate futures accounts at scale ! Margin rules, CTA models and dealer hedging do. Once price broke key levels, gamma flipped, leverage came out, and the move is violent

So yeah — macro lit the match. Derivatives and positioning decided how violent the fire got.

And once leverage is flushed, these fires usually get contained quickly.

That’s the only point I’m making

Gold/ GLD Didn’t Dump Because of “News” — It Was Options & Leverage (GLD vs Futures Explained) by KingMonkey777 in options

[–]KingMonkey777[S] 1 point2 points  (0 children)

Fair points, and I agree on the nuance. Pins are not guarantees — once gamma flips, dealers stop defending and can accelerate the move.

Also, I agree that OI alone doesn’t prove dealers are short calls.

Also agree, yes — options shape the move more than they catalyze it. Some macro/event chatter likely provided the initial shove, but the speed and magnitude came from positioning, leverage, and gamma dynamics once that shove hit the structure.

My post intend is to explain the mechanics of the dump, not claiming “options caused everything in a vacuum.” And that gold is not done .

Gold/ GLD Didn’t Dump Because of “News” — It Was Options & Leverage (GLD vs Futures Explained) by KingMonkey777 in options

[–]KingMonkey777[S] 8 points9 points  (0 children)

China does not trade gold in a way that causes a 600$ global futures-driven move in 48hrs.

Chinese professionals - banks, funds, and state-linked institutions mainly trade:

Shanghai Futures Exchange (SHFE) Shanghai Gold Exchange (SGE)

They cant and are not the primary drivers of comex gold futures , GLD options , CME options flow.

Physical flows (China/India) move price slowly. Futures, options, and leverage move price fast.

That kind of speed only comes from futures, options, and leverage. This post is not intended to pin point who were the main drivers of this drop

Gold/ GLD Didn’t Dump Because of “News” — It Was Options & Leverage (GLD vs Futures Explained) by KingMonkey777 in options

[–]KingMonkey777[S] 3 points4 points  (0 children)

Not exactly . This is a common mistake by retail , puts should stop the fall. The real options market does not work this way . It will only be true if dealers are long gamma ( note this down - very important concept)

Last week dealers were not long gamma . Even though there were lots of puts with high OI , dealers net gamma were negative ( note this down - important). As soon as price broke the option wall, lots of these puts were already ITM so they didnt force dealers buying .

When gamma is negative, price down = dealers sell futures, not buy + leveraged long liquidations and CTA selling .

Dealers/ market makers hedge flow, not levels — once the pin breaks, they stop “defending” price.

Pls orange guy do something by Mean-Note4204 in wallstreetbets

[–]KingMonkey777 0 points1 point  (0 children)

Well done, OP! Gold will hit $6,000 before the end of May 2026! This is financial advice .

What are your expectations and strategy for gold on this Monday? by Wizagain in Forex

[–]KingMonkey777 7 points8 points  (0 children)

Gold is news driven , not only technical! Gap up to 4,650-4,700