Markets are becoming a strategic nightmare for most traders; I can tell you “flat out”, from my lifetime of trading for almost 40 years [“has it been that long?”], and the fact I have been around since the inception of stock indices since the Spring of 1982, that what is happening in world equity markets, with manipulations of a magnitude that would make J.P Morgan blush if he were alive, cannot be sustained.
And what I’m referring to is the total “crushing” of intraday volatility [VIX] in world major indices [with a couple of days thrown in to get “players” to play again before they get their accounts crushed] down to levels I can’t ever remember seeing in the past. This will not end well mi amigos.
And if you think this phenomenon is limited to world indices, take a look at what happened to EURUSD after the Italian referendum last Sunday, where after an initial smack down, EURUSD screamed higher by 2 handles before the day ended, thus handing the “easy money” crowd yet another ass thumping from which they get to recover and wonder “honey, what happened?”, from the likes of Super Mario’s “Plunge Protection Team” going into full “retard mode”. EXIT QUESTIONS: “How long will it take to get EURUSD to move outside the range put in yesterday? How do you trade this puppy, when one day you have an almost 300 PIP range and then the next you’re looking at 60? What kind of algorithm is going to be there for both? Bat excrement crazy one day … crickets the next; so when you look to trade this thing, which volatility function will drive you nuts today? Which brings us to gold & USDJPY; about the only 2 markets at the moment you can make any sense out of and profit on a daily basis.
Turning to gold today … not much in terms of overnight action … seems Mrs. Watanabe’s check hasn’t cleared yet … about an hour and a half into this mess, and a couple of attempts to take it higher and expand the daily range have failed, but since the market is above the daily calculated white horizontal line, 2 trades today that captured profit. Directly below today’s trades; all in all, about $4 captured.
The longer I look at the screen, the less I want to be here looking at it. I’m outta here … beach beckons … until tomorrow.
Have a great day everybody!
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