“Aha! … no wonder there was none left for me after yesterday’s melt up!”
Nothing like trying to convince yourself yesterday’s melt up in the stock
indices doesn’t count cuz there was little volume associated with the move
… “nice try, but who cares”? … fact of the matter is the “Plunge Protection
Team” [PPT] did their job very well. And, as I stated in the “DOW30
Aggressive Scalper Tutorial”, the very biggest point up moves in market
history happen in bear markets … you don’t see this type of action in bull
markets, where prices build and rally on the “wall of worry”.
Looking over the action overnight, it appears traders have little appetite for
moving the indices to any great degree … given the “butthurt” handed out
yesterday to most traders, convinced the China news must mean a massive
move lower, and therefore any rally must be sold … “how’d that work out”? In
what can only be described as a total “coincidence”, when I went out last night
to buy some beer and wine at the drugstore, walking back to the cooler, I
noticed that all the analgesic cream was sold out as well … go figure!
Still, overnight did see some opportunities, but once again our lovable
scumbag LP banks just couldn’t find it in themselves to make an honest 2
point bid/offer market … you know, these are the guys who claim “the tightest
spreads on the planet, along with deep, deeep, deeeeeeeeep liquidity, with Tier
One level liquidity providers”, except when they decide and choose not to, and
instead go for the greed angle to take another $2 from Mrs. Wantanabe &
Gal Pals who trade mostly overnight. Directly below, another example of their
greed.
If it wasn’t so pathetic it would be funny.
About 2 hours until the NYSE open … don’t be surprised to see another
“Chipmunk ramp” into the NYSE open start real soon, cuz the mutual funds,
along with the ETN’s & ETF”s gotta buy the highs right out of the gate.
Turning to today’s market … right at the NYSE open, the DOW30 has
decoupled from the SP500 quite significantly … the scumbag LP banks have
taken the buy stops out of the DOW30 above 24,500, but the SP500 can’t budge
to get an uptick … looking this over, makes me believe the scaled back action so
far is leading to an afternoon explosion, one way or the other … put a gun to
my head, and I’d have to say lower, cuz with no follow through to the upside,
SP500 longs have got to be a bit disappointed and could lead to them puking
later … don’t know, maybe the Dow drags the Spoo’s higher, that’s a possibility
as well, but we’ll see later.
Since we did get somewhat of a “Chipmunk ramp” going into the NYSE open,
outside of that, Europe had no appetite for stocks … so, pretty much
everything today so far on the upside was to fill the moron investment
community with higher prices … other than that, nobody is buying “everything
is F-ing AWESOME! … thank you Larry Kudlow”. Trading action so far this
morning very choppy and extremely vicious in the nature of the turns … it’s
“down there” and then it’s “up there” [or vice versa] within a millisecond and
you have no chance of catching the majority of the turns.
Here a little before Noon in New York, market is hitting another new high as
buy stops are run above 24600 … that makes a 1200+ point gain in about 30
hours, and has to have hedge fund investment managers hitting the panic
button … and I think a lot of the buying is from those who panicked on the way
down and sold out of their long held positions at much lower prices, and can’t
take watching the market rocket higher and leave them in the dust … again!
“Well, that escalated quickly to the downside, didn’t it? … OK, who’s left to buy
after the melt up? … well, nobody, and inside of 30 minutes we’re down 130
points, and who knows what position squaring surprises are in store this
afternoon with NFP bright and early tomorrow morning @8:30 A.M. EST.”.
Two trades today … PAMM up a few bucks short of 0.2%.
I got a couple of “Teacup Handle Turns” [THT], really the only ones that I
could see that made any sense. The second one makes me laugh, cuz I’m in at
90 on the turn, and it just sits at 91 bid, then 92, back to 91 … back and forth
between 91 and 92, and I’m thinkin’ “err, could ya do somethin’ maybe”?, but
no … just back and forth 91 & 92 bid … after about 30 seconds of this crap,
I’m not liking what I’m seeing, cuz I know how the scumbag LP’s are gonna
end this deadlock, so I liquidate at 91 … I click the “OK” box confirming the
filled order, look up at my screen, and it’s the upper 04 bid … “mey, I don’t
care; do what you want … given the same scenario 100 times, I do the same thing
each time … after going to the day’s high at 31, now it’s 130 lower [and going
lower still] … ask me again if I did the right thing”.
Now, for newer traders especially, this is “hard to swallow” … and I have told
you before, becoming and most importantly remaining a professional trader, is
“learned behavior” … you have to be mentally tough and not give a crap what
happens next after a trade … it’s water under the bridge, and it’s over, so move
on to the next opportunity and leave it alone … easier said than done for way
too many aspiring traders that want to leave the “Pudding Business”, cuz it’s a
natural human response to want to “think things through” when trading, but as
Newbies very quickly discover, there is literally no time to think about anything
… “while you’re thinking, I’m acting, and that’s the difference between us”.
“Well, that escalated [again] quickly to the downside, didn’t it”? Just to make
things tough for everyone, now the mini meltdown from the high a couple
hours ago … first they come for the shorts, now it’s the longs that are
squirming … DOW30 down 200+ points with under 2 hours to the close … a
tough day to get a handle on, especially after yesterday’s melt up, and now that
we’ve rolled over, no way am I touching this stuff on the way down, cuz that
would be breaking a cardinal rule of trading in a “high volatile trading
environment” [see the tutorial for details, if you haven’t already]… still,
another profitable day … tomorrow sees NFP [oh joy!], and won’t that be
fun? I’m outta here … until tomorrow mi amigos … Onward & Upward!!
PAMM spreadsheet directly below.
Have a great day everybody!
-vegas
OUR TURNKEY FOREX “PAMM/MAM” IS NOW OPEN AND
OPERATIONAL; SEE “PAMM/MAM MONEY PROGRAM” IN
“DOWNLOAD LINKS” SECTION IN RIGHT HAND COLUMN
FOR DETAILS [VIEW ONLINE AND/OR DOWNLOAD] AND
START YOUR JOURNEY FROM WHERE YOU ARE AT TO
“ESCAPE TO SUCCESS”!
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