Another Market “Chip Diller” Moment
One of my big rules for trading survival is that when
apparatchiks or politicians speak they have as one of their major objectives to
severely hurt speculators. Prima facie
evidence on display today.
To be sure, there were a slew of algorithm signals as the
Pols spoke, with EURUSD and EURJPY reacting in an epileptic fashion; gyrations
of 5 – 10 pips per second as the Fed news was breaking. For good measure, and
not to be outdone because they have their own agendas, the “Alice
in Wonderland” Pols that infect Europe started
their own scripts to reporters across the pond.
A very difficult trading environment, with first a 50 pip
dip followed by a 100 pip rip, and then a move back to the middle. Stops on
both sides taken out and shot. What we are left with is a market that wants, no
demands, hopium in large quantities to keep its nerve.
With record short positions still in play, I have no doubt
one of the main objectives of Merkel et
al is to destroy those who have the nerve to try and make money off the
Euro debacle.
“How dare you try and
make money off of our stupidity and arrogance!”
Over the years, they have learned very well how to punish
the specs; a little hint here, a little hint there, and next thing you know the
freight train is running in the other direction. “Oh, so sorry you got stopped out.”
We made 2 trades today, both slightly profitable, adding
some incremental return, but really this type of day is to be avoided. Now that
the “big news” is out, markets should return to some sort of normalcy going
forward, in which we can take good advantage.
End NAV: 0.8997
Have a good day everyone.
-vegas
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