Large gap above very much unfilled…
The large gap on the S&P 500 futures (same on the S&P 500 itself) from yesterday looms above. It's hard to imagine the entire thing fills today but watch it as a reference level please.
Closing down for the week…Wednesday as of Noon
folks, tomorrow (wednesday) we will shut down operations for the week around noon….we may send out a quick note on friday but other than that it's just too risky to do anything on the trading front wednesday afternoon and friday morning …with exception of a possible bucket 1 gap trade Friday morning equities close at […]
Morning Thoughts Nov 22
Because it's all about French bond yields this morning here's a chart of the French 10 year bond yield. You can see the trendline in place…so after some further consolidation here it might be possible for yields to break higher (prices lower). That would likely come with a deepening of the crisis in Europe. Here's […]
Strategies & Market Outlook Webinar
Join us for our FREE Strategies & Market Outlook webinar this wednesday at 4:30 PM ET. Register here: http://anymeeting.com/PIID=EA57D784804F
Bucket 2: Bought a very small position in SPY
stocks finished well off the lows but still a weak day overall. GS and AAPL lifted well off the lows and we have reached some decent support levels on the broader indices: On the SPX that support level was 1183, which coincided with the 50% retracement of the move off the October lows. We bought […]
Bucket 3: Considering Short Position in USO
See the weekly chart of the USO etf (our proxy for oil). Note the multi-year support zone between $30 and $31. Given the low growth slowdown we are seeing signs from in the interest rates world it is hard to imagine oil continuing its ramp higher… The yield on the 30 year U.S. Treasury […]
Australia Yield Curve Inverted…signals weak growth
Australia's yield curve is inverted, which in the bond world speaks to weak growth. The Aussie curve is also a proxy for China…so it signals weak growth going forward for China.
Morning Thoughts November 21
Note the key levels on all the charts (accross asset classes) below. Our game plan is as follows: Should we close well below all these support levels we would then expect a relief bounce that we would short. If we bounce today and don't close below those support zones we will have to measure the […]
Head & Shoulders on the German Dax
the 30 minute chart of the German Dax displays a clear head & shoulders pattern that if it works out has a final target just at the September lows. We don't see a clear entry signal however unless the index today closes below 5750. correlation across assets is very high at the moment and the […]
When Are Italy’s Debt Payments Due? Important Charts
Note the big bond repayments due in 2012 and 2013…which is why Italy 2 year debt only yields 50 bps less than Italy 10 year debt The Italian Sovereign debt curve is shown below in orange…compared to the Euro Swaps curve in white.