I mean, come on... what did Yellen said at EXACTLY 6.20pm to rip the market like that? In 60 seconds... at a meaningless "eco club" speech... come on... Was not watching live cos on hols this week, but can t believe there could b any "real" stuff behind that. Saw the 1.129 target coming last Thursday, that ok... But WHY is it that lately, most TA targets don't get paid, and then all of a sudden, you get an "excuse" and Market goes STRAIGHT to that target when it was going nowwhere before... I guess that the algos are getting meaner, or the liquidity smaller... From here €$ has to get back to 1.1160 and I bet it s going to take forever, and it will get there when everyone is convinced market is going to 1.20... Same on Gold, crazy sh.t going on in there lately, wild as F* hell...
Here recap from MarketWatch (like if it was some football game... watching old Granny...) http://blogs.marketwatch.com/capito...-question-and-answer-session-with-economists/ Yellen says forward guidance, bond purchases would be tools if economy falters 12:20p Yellen says fallout from market turmoil on economy likely to be limited 12:20p Yellen says ‘too early’ to say if pickup in core inflation will prove durable 12:20p Yellen does not mention negative interest rates as tool for possible downturn 12:20p Yellen says appropriate for Fed to proceed cautiously on raising interest rates Absolutely MEANINGLESS stuff ("go could bad, maybe worse, we will act or maybe not..."). Just an excuse for algos to rip the market.
Ok... nobody finds this strange... guess IGNITION algos are just part of the market now.... and they are having a ball these last few weeks for sure
Posted about the same subject, about the same time as you. Don't know what or who to blame for this market, but I was sure that Yellen speech was going to get this reaction even before it started. The point is, I am not sure that fading this (dumb) moves can be a workable strategy, because as you said it will take forever to the market to get to normal and in the meanwhile there will be more and more Yellen and Draghi.
Oh yeah? which thread? I think it will take just the "end of the month" thing to get worked out... that is 2 days. "They" often do that, work up the markets before EoMonth... This CBs BS is getting way too far... these out of FOMC speeches should have NO EFFECT on the mkt whatsoever... What? Are FMC mmetings and minutes not enough??.. Come on... It s just algos and/or HFT taking advantage of thin liquidity... Just look at volumes ysty... S&P is a GREAT short at 2060, just like it was a great buy at 1820... for 60/70pts 1st target.. Same on Gold imo 1240 for 1200/1190...