Gotta love ZERO RISK in the SP500 = $$$

Discussion in 'Trading' started by makloda, Jan 27, 2007.

  1. i960

    i960

    Yeah the funniest part is if you go back far enough (and I did this), you'll see all the shit talking in 2007 and then come 2008 all of a sudden the thread turns into a ghost town, tumbleweeds and all.

    From page 275: http://www.elitetrader.com/et/index.php?threads/gotta-love-zero-risk-in-the-sp500.85694/page-275

    To page 276: http://www.elitetrader.com/et/index.php?threads/gotta-love-zero-risk-in-the-sp500.85694/page-276

    The thread manages to go from Jul 2, 2007 to Dec 5, 2008 all in the span of a single page. In fact, more than 600 pages of this thread are all post 2008, that says something. :D
     
    #8831     Aug 20, 2015
    Shawnovision and der_kommissar like this.
  2. romik

    romik

    Destruction of perma bulls basically.
     
    #8832     Aug 20, 2015
  3. romik

    romik

    Here we go.
     
    #8833     Aug 20, 2015
  4. noddyboy

    noddyboy

    This actually looks like a good place for me to cover my shorts and go long finally.
    SPY@206.55
     
    #8834     Aug 20, 2015
  5. S2007S

    S2007S

    Haha, what a dayyyyy

    Another unexpected drop, s $ p right at support, no worries they will prop it up.
     
    #8835     Aug 20, 2015
  6. xandman

    xandman

    Looks like the real thing. An orderly markdown.
     
    #8836     Aug 20, 2015
    der_kommissar likes this.
  7. S2007S

    S2007S

    So who saw this coming? tom lee was on cnbc every week saying new highs were coming and he even said this above 18,000 here we are right around 17,000, its going a lot lower, October 2014 lows are coming, once the s$p breaks 2040 its all down hill from there, a break below 2000 will come soon after...
     
    #8837     Aug 20, 2015
  8. Well off the lows by lunch...it's always the same.
     
    #8838     Aug 20, 2015
  9. It's not necessarily a question of "who saw this coming"; it's all the interference that is run during the process. It goes back to something that I said earlier in this thread...the short side has had maybe minutes to cover at extreme lows, whereas the bull side can have hours, days (even weeks) to liquidate (it's possible that is changing)...repeat that process 5-10x and the market gets so thinned out that we see the kind of extreme action that we're seeing lately (plus the always present "Fed put" and the psychological warfare associated with that).
     
    #8839     Aug 20, 2015
    i960 likes this.
  10. S2007S

    S2007S

    I have to laugh at how quick sentiment on wall street these days changes, it literally changes by the second where as 20 30 40 50 years ago it changed by the year or decade, meaning just recently everyone was saying gold was going to collapse etc etc etc, it was going to break $1000 and continue its sell off, fast forward and this is the article cnbc has posted today

    so now its time to buy gold? hmmm


    Gold rally could be similar to 1980: Trader
    Amanda Diaz | @CNBCDiaz


    Gold bugs are finally getting a bid.

    Prices of Gold continued to rally Thursday, rising more than 1 percent to a four-week high as uncertainty over a possible Fed rate hike had investors piling into the safe haven asset. The precious metal is now up more than 6 percent from the recent low hit in late July and some traders think now could be its time to shine.

    Read MoreGold at 1-month high after Fed hints Sept rate hike is less likely

    On Wednesday, when options volume in the SPDR Gold ETF, the GLD, ran 1 ½ times its daily average, one trader bet nearly $250,000 that the ETF could continue to rally over the next two weeks. Specifically, that trader bought nearly 12,000 of the Sept. 4 weekly 112-strike calls for 20 cents each. Since purchasing a call option allows a trader to buy a stock, or in this case ETF, at a certain price for a given time, this is a bullish bet that the GLD will rise above $112.20 by Friday, Sept. 4.

    "The is one of the first times in a while that we've seen options traders bet on a rebound," Mike Khouw, a CNBC contributor, said Wednesday on CNBC's "Fast Money."

    Bullion has been a notoriously tough long, as a strong U.S. dollar and stock market have pushed the yellow metal down nearly 20 percent since August 2013.

    "We don't quite know how this will end," added Khouw. "But if gold's bear market is similar to the one in the early 1980s, it may still be marked by some significant rebounds."

    Khouw noted that from its peak in 1980, gold fell 40 percent, then found a bottom and rallied only to sell off again. "This bear market could easily do the same even if it does ultimately go lower."

    Gold is down more than 3 percent year to date and is on track for its third consecutive year of losses.
     
    #8840     Aug 20, 2015