Outside of the tsunami move in gold cuz banks failed, what’s really moved? … it
all looks like mindless chop in too many markets … interest rates are moving
[please excuse the BOJ cuz they’re insane with YCC (Yield Curve Control)],
especially the short maturities, but unless you’re trading futures, not that many
offshore houses offer CFD’s in short rates … the selection is rather skimpy at
best … longer term rates even harder to find markets … crude oil has been dead
for months, and most of FX languishes in obscurity … unless of course it moves
in Asia & very early Europe … that seems par for the course … can’t do shit in
the New York session.
Gold yesterday under the spell of Spicoli, until Grandma Yoda Yellen opened her
PIE HOLE and began talking … nice roller coaster action that benefits only the
bullion banks in the late afternoon … nice work if you can get it! … everything on
the board, under the spell of interest rate moves, mostly short to intermediate
[2 YR - 10 YR Treasuries], and the moves are simply gargantuan in scope … you
got to go back 40+ years too the late 70’s early 80’s to find short rates moving like
they’re moving now … and when they turn, so does gold in perfect tandem.
I noted yesterday about the debasement of the dollar, and the role of gold
… directly below, the link from ZH.
https://www.zerohedge.com/markets/end-moral-hazard-and-dollars-debasement
Here’s the money chart.
The budget of the federal government HAS DOUBLED SINCE 1999, and look at
what the FED has done to your dollar purchasing power … somebody tell me how
much better life is cuz of this? … all of ‘em should be in prison.
I came into today looking at USDJPY & EURJPY … both of ‘em sick given world
events and news flow via bank problems … not trading like they should … every
single up / down tick in the 2 YR. Treasury note yield moving both … “we’re all
bond traders now in case you haven’t noticed!” … everything with “Trading
Ratios” [TR] of about “4”, which is OK … only problem in FX, is that it doesn’t
translate much into profit or loss cuz the moves are tiny relative to the m1 ranges
… which means plenty of chop and bullshit mystery ticks in the bid / offer … oh,
you still got the risk, but unless you’re willing to HODL for a while, you ain’t got
much to show for anything … by comparison, not the case in gold.
Into the New York afternoon, and yields keep falling … “gosh, doesn’t anybody
believe government that the banking crisis is fixed? … Bwahahaha! … Umm, no
they don’t!” … gold now has a 20 Day Range MA of over $31 … compare the New
York session 20 Day Range MA over $20+, and at 10 cents per PIP, it equates to a
200+ PIP range in gold versus FX pairs … that’s far better than anything in FX
pairs, and even with 10 - 20 cent slippage on fills [sometimes], the VIX of the m1’s
far superior to the crap in FX, even with slippage! … given the current trading
environment, gold ain’t slowing down at all, and why should it? … going forward,
I don’t see any of the economic or banking problems resolving themselves
anytime soon, and with the debt ceiling clusterfark ahead of us, and Biden as
Chief Idiot, gold looks poised to go a Helluva lot higher from here over the coming
days / weeks / months … of course, only the trading algorithm knows for sure, cuz
that’s why we have it, but the intra day VIX [volatility] alone puts gold at the top
of the list by a mile, even if it slows down some … while welcome, we don’t need
$30+ ranges for the algorithm to shine.
Multiple trades today in USDJPY & gold … PAMM UP SLIGHTLY … FX did us no
favors today, with some shoddy fills and latency … YEN better than EURJPY
… Miss Gimpy almost threw her computer into the ocean she was so pissed over
a EURJPY fill early … that made me think twice over the pair and I went for
USDJPY instead … not that it made any difference, USDJPY with some shitty fills
as well, with slippage being a real problem … “well Hell, if that’s the case, might
as well trade gold … at least in that market the reward is better than the risk … and
in fact, gold pulled us to profit … not much to be sure, but profit is profit! … here
late in the day, rates continue dropping and gold goes over 2K again but can’t
hold above that key figure [so far] … new ATH only a foregone conclusion in the
days immediately ahead, as I’d be shocked if $2062 isn’t taken out … if gold can
stay like today [decent latency and fills], we’ve found our trading “home”!
… onto tomorrow.
… OUTTA HERE … “The future’s so bright I need 2 pairs of sunglasses 😎😎,
and my own Brinks armored truck” 💓!! … Onward & Upward!!
-vegas
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