Posts by "stationdealer"

one think for sure USDx is not gaining any favors and becoming highly volatile. Tech sec instead of pointing fingers at Yuan manipulation they should focus more on their dollar.

Right now dollar is only materializing other crosses on its way to bottoming our where ever it would be my guess was 76 77 so were not far from there, So far trading very easy and very competitive. Later this year's end will give us an interesting picture

Well i believe the strategy should based upon simple supply and demand. around X-mass banks believe that there will more money made by retail sector industry in Europe than in UDS, so for that reason focus right now is shift recover from EUrope. America for the first time is understanding what cash mean.
I will say again important things is to follow Money supply M3 and corresponding instruments. That way u will have better gauge to understand inflation where its headed next which i think is China, Japan already struggling. China on the other hand bare some what of inflation pressure because of their reserves held with US banks.

Yellow Flag: We Expect Choppy Prices Ahead

Daily Technical Sentiment Indicators: Optimism (short term bearish)

Short Term Market Condition: Overbought (short term bearish)

Short Term Trend: Up

Medium Term Trend: Down

Long Term Trend: Down

% of Stocks Above 200 Day Moving Average/Daily Change: 60.6%/+9%

% of Stocks Above 50 Day Moving Average/Daily Change: 76.7%/+11%

Market Update:

Market Closing Price % Change

Dow Jones Industrials (DIA) 10,525 +0.97%

S&P 500: 11115 +1.1%

Gold: $1183 -0.5%

Oil: $78.96 -0.03%

VIX: 22.7 -3.2%

Shanghai Comp: 2588 +0.65%

A short squeeze is just at hand as markets pushed higher yesterday on the strength of good new home sales and FedEx upping their forecast going forward. I say good home sales because while the number came in better than expected it was the 2nd lowest number dating all the way back to 1963 and so, to my mind, didnt seem to offer too much to cheer about.

Today well get data more data from the housing market with the Case/Shiller Index due at 9:00 a.m. Eastern time and July Consumer Confidence at 10:00. Also before the market open well see earnings reports from BP

Today the S&P 500 closed above its 200 Day Moving Average for the first time since late June where it managed to hold that level until declining approximately 9% into the recent lows in early July. A few days above this point and marginally higher closes will force out many shorts and likely lead to still higher prices.

Meanwhile I was out of pocket for a few days, but realized Barclays had the temerity to launch a new VIX ETN. Not only that, but this new volatility product is the first inverse VIX ETN to hit the market. It goes by the formal name of Barclays ETN+ Inverse S&P 500 VIX Short-Term Futures ETN and has a ticker of XXV.

Frankly, there are a lot more questions than answers for XXV at this stage. My initial impression, however, is a positive one. Both VXX and XXV are ideally suited for the day trading crowd and are useful for swing trades of several days or so. As far as longer holding periods are concerned, I am partial to XXV over VXX, as XXV should benefit from the same term structure rebalancing anomalies that have plagued VXX and have resulted in negative roll yield. In the case of XXV, the daily portfolio balancing should be a net plus over the course of long-term holding periods.


VXX Calls Attracting Interest
Since their launch just two months ago, options on the iPath S&P 500 VIX Short-Term Futures ETN (VXX) have attracted a robust following and have averaged about 20,000 contracts per day. During that period, approximately 2/3 of the VXX options transactions have involved calls.
http://vixandmore.blogspot.com/2010/07/vxx-calls-attracting-interest.html

I think we'er still in game till 10618/20