After being well ahead on profits I managed to clear out my whole account with IG. Fcuking spreadbetting.
Hmmm.... Didn't mean to sound like a CNBC talking head. I can't stand CNBC. I actually didn't realize that news had an impact, since it was buzzing around early that morning. It looked more to me like US Factory Orders started the move and then it was a technical breakout after a 50% pullback from that number. You might be right because crude fell at about the same time. I'm trying to expand my view to a longer term perspective, so I was exercising a technical possibility in my previous reply in the hope that someone can confirm or deny what I was saying. I guess it doesn't matter because the market will do what it will do anyway.
futures71, you are up early today i agree, the uptrend on the dax is strong, new multi-year highs... - so although, as noted above, there has been an "unusual" lack of the typical close correlation between the dax and the u.s. indices in the u.s. session in the last few days , i believe the main reason is the strong trend on the dax - higher inflation in Europe? German political uncertainty? UK economy slowing? no problem, they are just buying 'em at the moment
I agree with you there. They are buying every pull back with size these days. I don't think I have ever seen as many 100+ lot prints in the FDAX before. I think the saying goes something like, "A bull market climbs a wall of worries." I'm seeing this more now than I have done before. I guess as long as corporate earnings are steady or climbing, then so will the indices. There is so much talk of inflation now that I'm certain it will not be the catalyst to cause any major change in downtrend. I can't count the number of times I saw headlines stating things to the effect of "crude price to cause the market to crash this year". Sure enough, crude goes over $70 and we just rally and rally. "Experts" say that this is because the price of crude is "already factored in". Nonsense. It wasn't long ago before that when the same "experts" were predicting doom and gloom. I have never found the market so comical as I do now. These are such interesting times.
actually interesting to see that you are going in this direction - of course it's a natural progression to pay more attention to the bigger picture, however, i would have guessed that if you wanted to enhance your short-term trading, a more "valuable" course to pursue immediately would be leveraging your extensive experience to look into automating parts of your trading... of course perhaps you're looking at that too - in any case, best of luck.
Scalping requires a lot of intensity. I don't scalp for just ticks, but I will take ticks on size if that's the environment I'm in. I don't trade for just the spread. It is almost impossible to automate what I'm doing or train others to do. It really requires a lot of mental focus and almost running on "automatic". I will continue to back traders and train them to do this, but I am looking for something else to do in addition to this. This is like flying a fighter-jet in a combat theater. I'm sure eventually, fighter pilots find other things to do with their time as they get older. Scalping has enormous advantages that are not available with any other style. Nonetheless, I feel I need to take on a new challenge and diversify my skill set to other areas. This was the original reason I came to ET.
VW drove it up, the move in the european morning session was driven when rumours went out that the 29% buying of VW by Porsche was being done on the open market - dax took off when that went round. By the time you mention they reported having 20% of it, still had another 9 to go and brokers reported record volumes going through, dax just loved it (and carried through later on oil). Free money if you picked up the rumour early enough.
thanks that makes sense, I think I overheard Simon Hobbs on CNBC saying VW and auto stocks were driving Dax up because of the SPR release, then I looked at GM and F they hadn't budged the whole time ! also the SPR release would be from heating oil reserves! (not crude) these TV commentators are really clueless !
The later report that they had 20% was on bloomberg terminal, the first rumour came through contacts. Earlier reports days before on reuters said it was not going to be an open market aquisition