I WAS A “DEGENERATE” TRADER LONG BEFORE IT WAS COOL!

 

“Figured it out before many of you were born!!”

Check out the article today on ZH, the link directly below, where somebody is

moaning & groaning about all of the “teens” becoming “degenerate” traders via

trading apps on their smartphones … “meme Stonks”, options on

“meme Stonks”, 0DTE options on the “Spoos” or NDX100, and to some extent

crypto … ain’t seen any “teen traders” brag about FX, oil, or gold … that’s

“fuddy duddy” shit that doesn’t move well enough to stir the animal spirits

… “when younguns perceive their future offers no hope cuz society is

1) corrupt as Hell, 2) education is a dead end of financial hardship, 3) inflation is

out of control, 4) corporate America is a death sentence, they’ll turn to

opportunities where they are in control and call their own shots for financial

success… Dear Younguns: welcome to trading mi amigos!!”

https://www.zerohedge.com/markets/rise-teen-stock-traders-gamification-trading

-apps-creates-new-gamblers

And while 0DTE options & “meme Stonks” catch the younguns attention, it ain’t

my cup of tea, cuz while the payoffs can be high the risks are very tangible and

real for “blowing out”, something younger traders have a real problem with and

always have … making boatloads of dough is nice, but keeping it is nicer without

doing “stupid shit” on the risk side of the equation … crypto, when it moves,

offers better risk profiles while still being able to book coin.

Today markets [cough, bullshit, cough] focus on NVDIA earnings after the close

… the biggest of the big for “AI”, they better beat expectations by sigma amounts

or there’s gonna be a bloodbath in the aftermarket … the amount of OTM call

options LONG by specs is “off the charts”, and any disappointment will be met

harshly … EXIT QUESTION: “Who’s left to buy and get long?” … “maybe Biden

and his Communist crew of misfits can give the 10 million ILLEGALS let in since

he stole the 2020 election debit cards and options accounts at Schwab and/or

Fidelity so they can buy NVDIA calls out-of-the-money [OTM] … why not?,

they’re given everything else FREE for being here ILLEGALLY … hardened

criminals can now be “degenerate traders” and fund drug deals … sounds like

a solid plan for the Banana Republic doesn’t it?”

Unless you think trees grow to the sky, caution in the rise of ETH is warranted

here … $3K is providing resistance, and the daily chart is showing a

“hanging man” on the candlestick [which is bearish], and if today’s down move

holds, a bearish engulfing pattern off a top … all are big “ifs” of course for a

potential drop in price, since FOMO knows no fear of drops in price [until they

come and then watch how fast they panic].

Only one PAMM trade today … pretty shitty trade since the NYSE open with

choppy action, zero follow through, and a tiny range … WE’RE UP SLIGHTLY

… hopefully tomorrow sees better trading action and a better NYSE range

… NVDIA earnings after the NYSE close, and that might shake things up … we’ll

see … onto tomorrow.

… OUTTA HERE … “The future’s so bright I need 2 pairs of sunglasses 😎😎,

and my own Brinks armored truck” 💓!! … Onward & Upward!!

-vegas

JUST ANOTHER DAY INSIDE THE CORRUPT CASINO

 

“I’ll take number of orange pills for $1,000 Alex!!”

The propaganda & corruption never stop … not in government, and surely not in

trading finance … can’t hardly wait to see the new levels of 0DTE terror the

manipulators got planned for today.

Of course, what they got planned are called reversals, double reversals, and on

occasion triple reversals … you don’t know when, but you sure as Hell know it’s

coming … and it comes fast & vicious … now into the New York afternoon, and

it’s hard to generate much excitement for the “Stock Bellies”, as they basically

chop around doing nothing except burning specs … the “Spoos” particularly

rather pathetic … but, and this is important to remember in the new paradigm of

0DTE, a lot of the action comes in the last hour when there’s no time to

expiration and gamma squeezes are epic … but at least for now, today’s trading

is a non event.

Pre market, all we saw was price strength … then the NYSE open came and since,

all we’ve seen is price weakness … any and all upside momentum in the NDX100

has been paltry and pathetic to say the least … at least so far, there isn’t any

interest in buying except some periodic and short lived short covering, and when

that’s done, “Thelma & Louise” show up very quickly and it’s time to move to the

bottom of the quarry … it is literally amazing to me to watch these gigantic swings

in sentiment happening so quickly and abruptly, and at the drop of a hat … if you

ever needed proof of manipulation, this is it.

Meanwhile, over on ZH, all I see is “pearl clutching” among the stock jockey

crowd … is the tech rally over? … is inflation dead? … can we rally from here, or

do we roll over and get smacked again? … a large put buyer in the 2/17/23

expiration at 4050 has the market “spooked” today … quite frankly who cares,

but it does show the lengths of despair when the BTFD crowd doesn’t get their

way, and others are buying protection hedges or outright shorts on economic

data about to show up next week in the CPI numbers … then of course, we got the

0DTE lemmings, who on command go “over the cliff” on any movement that

threatens their beloved iron condors and/or put/call credit spreads … which by

my calculations happens about every 2 hours … hoping and praying nothing

moves, how’s that strategy workin’ out every “Hoover Dam” day? … seriously,

you gotta be nuts!

And here we are at 1:30 PM EST, and after busting cashews all day long to the

put credit spread ODTE players, now it feels like it’s the call credit spread players

turn to feel the heat … like I said, you know it’s coming but you don’t know the

how and when … specs are in the options and the dealer scumbag banks in the

cash market, so does the dog wag its tail or does the tail wag the dog? … for the

last hour, it’s been the “Loser Formation” after that drop to new lows, and while

the New York session range in the NDX100 has held up rather well, the “Spoos” &

DOW30 act and trade like corn or oat spreads … where the Hell are the ranges in

those markets, and where have they disappeared to? … and what you’ll notice if

you look carefully at the “Stock Bellies” complex, is that on days when it rallies,

breaks are hard to come by and don’t last very long and it takes nothing but a

squirrel fart to get them to move higher … but when the role is reversed and it’s

down action, getting any upside momentum is like finding unicorn meat at the

supermarket … and when the short covering is over, they smack the shit out of

the NDX100 faster than you can say, “WTF was that?” on a 20 index point hit in

about 2 milliseconds … there isn’t anything remotely smooth about it … “it was

up here, now it’s down here … enjoy!” … 20 to 30 minutes to crawl up, 2 or 3

minutes to take it all away and then some.

Now I realize, “Stock Bellies” aren’t every traders “cup of tea” … there are still

plenty of you that are hooked on FX, and are diehard EURUSD, GBPUSD, &

USDJPY traders … no problem, the trading algorithm has you covered … most

likely they are correlating with the “Spoos” anyway in some kind of “risk on / risk

off” [RORO] matrix from Hell … ditto with crude oil, and if we had an oil CFD that

could compete with futures, I’d be there … but we don’t … but if you do trade oil

futures, the algorithm is exceptional.

About 2 hours to the NYSE close, and we can’t rally and we can’t really break

… just more of the same sideways bullshit that frustrates traders everywhere

… it’s Thursday, and outside of the triple reversal day on Tuesday 2/7/23, trading

action has been a complete bucket of shit … race up, turn on a dime, race down,

turn on a dime, rinse and repeat … the entire week has been a mess, and quite

frankly, we haven’t really gone anywhere of substance … that could be changing,

as it feels to me like upside momentum is waning in the face of FED calls for rates

to be higher for longer … higher rates for the NDX100 is like garlic and the cross

for a vampire … they tend not to do well together! … so, we’ll see.

About 90 minutes to the close, and the NDX100 is hitting a new low for the day

… par for the course after hitting a new high near the NYSE open … ho hum, just

another reversal day … price today not giving a single solitary buy signal once

stocks opened … unreal … just a slow walk down the hill with some red spikes

from Hell to the downside sprinkled along the way … literally ZERO upside

momentum once the opening bell came … looks like that large put buyer in the

“Spoos” is on to something.

No trades today simply cuz we got no buy signals … kind of strange, but welcome

to “The Twilight Zone” where anything can and will happen … onto tomorrow!

… OUTTA HERE … “The future’s so bright I need 2 pairs of sunglasses 😎😎,

and my own Brinks armored truck” 💓!! … Onward & Upward!! 

-vegas

CRAPS FOR THE EDUCATED ELITE

 

“Truth of life 101!!”

Welcome to the casino … the craps table will open at 9:30 AM EST … let the

penny stocks go wild!

And basically, there you have a brief synopsis of the “Stock Bellies’, where

absolutely nothing makes any sense whatsoever, only the flow of money and

volume … that’s it, everything else is bullshit … and it’s what the scumbag banks

know that pretend to make markets, and the customers ignore at their peril

… things like “fun-durr-mentals” and other useless noise, are just propaganda

for the masses.

And here we are, the second worst trading day of the month … that would be the

Monday after NFP Idiocy Day, where nobody is speaking, no horseshit stats are

released, and everything trades like a penny stock on fire … reversals

everywhere, the garden variety, but also double and maybe even triple reversals

are in the cards … and why not? … money flows faster than bets at a craps game,

and then suddenly disappears … those with the biggest wallets and access to

order flow, along with multi million dollar computer systems that operate in

nanoseconds, most definitely have the “edge” … in other words, they control

the “pink sheets”.

Now into the New York afternoon, and trips to the highs and lows of the day have

been seen in the NDX100, inside a pretty tight range [so far] … screw the shorts,

then screw the longs, par for the course so far and we got hours to go to the

close … now more than ever, options are playing a more significant role in

market movements than at anytime in modern day trading history … just last

week saw the largest single day volume in calls ever seen! … and a lot of the

interest has been generated by “0DTE” options [0 Days To Expiration … in other

words, single day options!] …  a good article last week on ZH about these, the

link directly below.

https://www.zerohedge.com/markets/why-0dte-so-important-and-why-vix-now-

meaningless

Even with crap New York session ranges, “Trading Ratios” [TR] for the “Stock

Bellies” are almost always a slam dunk good to excellent … the question will

always boil down to “can I get my algorithm signal trade off at a decent fill price,

and can I liquidate without getting monkey hammered?” … so far, at least for

today, that’s not a problem … Spicoli speaking tomorrow may have some traders

wary of taking positions today, cuz you never know what this Moron will say

about rates … still, historically this day isn’t a very good trading day anyway, so

what better scenario than to screw everybody at least once by going back & forth

between the high and the low several times, but never extending the day’s NY

session range … and at the blink of an eye, it’s move at the speed of light in the

other direction as traders panic … the real question becomes, now that we’re into

the New York afternoon, is which way the “0DTE” puts and calls gamblers are

going to react into the close and how are they positioned … those on the wrong

side almost guaranteed to panic, and this is one of the main reasons price activity

in the last hour can be so frenetic and wild … it’s called panic!

Today sees me watching closely the NDX100 … it’s been quite a while since I’ve

been back in this market, and it’s not the market it was years ago when it was at

circa 7,000 or so … quite different, and much more volatile than before … not

quite the “Spoos” and better liquidity and volume than the DOW30 … so far at

Noon today, volume in the NDX100 micro futures [$2 * index per 1 lot volume]

roughly 800,000 contracts … and this is on a slow day with a tight range, and

there’s about 4 hours or so to go to the close, so it’ll easily see 1 million +

contracts traded … TR of between 9 - 11 most of the NYSE day so far, so trading

activity is excellent, even though it’s not really going anywhere, but instead

chopping longs & shorts to pieces … bid / offer spread between 0.7 - 1.2 index

points, so right around 1 index point … since COINEXX has one of the lowest

commission structures in the marketplace, the total cost to trade, if there’s no

significant slippage, is better than average than those houses that quote a better

bid / offer spread but have much higher round turn commissions … all-in-all, no

matter where you trade this index, your cost is gonna be very near 1 index point,

and for an index with a 20 Day Range MA in the New York session [6 ½ hours] of

approximately 240 index points [this week’s value], it’s the best of the bunch of

“Stock Bellies” for value in trading [bang for your buck!] … “IF”! … If the spread

can be maintained and slippage minimal to non-existent when it gets super

active … and for the most part, outside of FED news, or some FED Pie Hole

saying something, or one of the major econ reports [CPI, PPI, NFP, and maybe

retail sales, PMI, & ISM numbers if they sigma miss expectations], values are

reasonably stable.

Today’s trading action very subpar … like I said, I think much of that has to do

with Spicoli speaking tomorrow at 12:40 PM EST, and the fact today there isn’t

anything of substance in terms of news anywhere … with only a couple of hours

to go to the close, unless somebody somewhere panics [a real possibility], this

day goes down with about a 50% reduction in terms of the New York 20 Day

Range MA … so, not a very good day for movement … a handful of algorithm buy

signals today in NDX100, but many of them came close to the low of the day,

which given the low range values, I didn’t take cuz the reward / risk ratio wasn’t

very good … I did take one algorithm buy signal in NDX100 on a trend change,

and the PAMM IS UP SLIGHTLY … tomorrow will undoubtedly see better

conditions, and once Spicoli opens his Pie Hole, things are likely to pick up

rather substantially in terms of range and price movement.

So far, I like what I see from Coinexx in terms of the NDX100 … no issues with

either latency or slippage on fills … all we need now is better conditions, which

we’ll get more than likely starting tomorrow … so far so good!

… OUTTA HERE … “The future’s so bright I need 2 pairs of sunglasses 😎😎,

and my own Brinks armored truck” 💓!! … Onward & Upward!! 

-vegas