Bloomberg Gold Survey and naked shorting

Bill,
As you have pointed out, Dennis Gartman is a great contrary indicator. When he pointed out that the gold bull market is over, that was music to my ears. I wonder if anyone has kept track how many times over the years that he has said the bull market is over in gold. This is starting to get ridiculous.

Another contrary indicator is the Bloomberg gold survey when it gets to extremes. I am not sure if the banks wait until sentiment gets to extremes to cash in, if it is a coincidence, or some combination of the two. One of the most bullish readings for the Bloomberg gold survey was right before the Feb. 29 smack down. For the survey participants; 17 were bullish, 5 bearish, and 1 neutral. The kitco survey was even more extreme. For the survey participants; 19 were bullish, 3 bearish, and 2 neutral. This article came out on Saturday Feb. 25 predicting gold prices for the following week. Below is the article.

http://www.coinnews.net/2012/02/25/gold-silver-surge-in-weekly-gain-and-silver-eagles-rebound/

Look what happened after the survey came out for the following week.

After the participants in these two surveys were extremely bullish, a multi-week decline starts with the big smack down on Feb. 29. We now have the exact opposite of the above. Bloomberg just came out with this headline, Gold Traders Bearish for First Time in 2012. For the survey; 9 were bullish, 15 bearish, and 5 neutral. This was also music to my ears. Below is the current Bloomberg gold survey.

http://www.bloomberg.com/news/2012-04-04/gold-traders-bearish-for-first-time-in-2012-commodities.html

Is this just coincidence that Dennis Gartman declares the bull market is over in gold and the Bloomberg gold survey is bearish for the first time in 2012? If you are the banks and are looking to cover more shorts, this is a good story to trick as many people as possible to go short. If you want to make Dennis Gartman and the Bloomberg gold survey look credible, you naked short the crap out of the gold and silver miners. The London gold trader had some superb input on the physical market and the naked shorting of the miners.

http://kingworldnews.com/kingworld
news/KWN_DailyWeb/Entries/2012/4/5_London_Trader_-
_Feds_Global_War_Against_Gold_Escalating.html

For me, the most interesting part of this article was the following quote.

It’s the same bullion banks doing this to the mining shares. The same players that are manipulating the price of gold and silver. The bullion banks are naked short these mining shares in an effort to keep the prices capped.

This is why when you look at the OTC Reports, in the latest quarterly report, there are $150 billion dollars worth of certain derivatives. These are not futures, options or even swaps. JP Morgan and HSBC control over 97% of all of the gold derivatives. When you think about it, this is a mind-blowing number.

This helps to explain why the price of gold can keep going up and the XAU can be on a constant decline since late 2010. It is amazing to me the convoluted reasons we keep getting concerning this divergence. IMO, the only way this naked shorting will stop is if it gets exposed enough and people yell bloody murder from the roof tops.

I recently heard Jim Cramer offer another crazy reason why gold is going up and the gold mining stocks are going down at the same time. I call this the Sears Tower syndrome. The Sears Tower (now called Willis Tower) is the tallest building in North America. There is a certain small percentage of the population that can be standing with you next to the Sears Tower in Chicago. That small percentage of people will look you in the eye and tell you that you are not standing next to the Sears Tower. You tell them that this building looks exactly like the Sears Tower and has the same address as the Sears Tower. They will tell you it is not the Sears Tower. It seems like we have heard every possible reason for the divergence between gold and the miners from the mainstream media except NAKED SHORTING BY THE BULLION BANKS.
Paul