Massive S&P Order Roils Markets By Jamie Coleman || June 28, 2012 at 19:52 GMT Supposedly 60,000 E-mini S&P futures were hoovered up in one go.
Merkel cancelled the EU press conference tonight, and that's meant to have sparked hope that she has changed her mind about saying no to euro-bonds.... And/Or its just the Plunge-Protection-Team & ECB stepping into the market and buying hard, just like they have been doing every day, every week for the last few weeks! They wont let Dow get near 12,000, S&P near 1,300, or Vix above 22, and so just step in and buy giant amounts in the market.
Because that is what machines do. Ramp, grind, ramp, grind, slam down, but mostly grind. Repeat until the close.
It's simple Technical Analysis. See that low....yea, buy right above there and ride the wave to near the top (see here). This is called getting the "meat" of the move, and is really simple. For this type of action, I would use 1,000 contracts and use a 5 pt trailing stop, never triggered. genius. can't you see it on the chart!!!!
60k that's a lot, when they first invented ES the limit per order was something like 23 contracts anybody know what it is today? in other words, you could buy 60k, but you had to enter it 23 at a time (even if it was all at the same time), it gave the little guy at least a chance to squeeze his one lot in there somewhere
I know what happened... I got the first hourly/fifteen minute buy signal in days. Hah... No, but seriously... A lot of people were shorting today because of the negative news but the natural market motion was still sideways slightly upward. When the market gets toward close you find out how people are actually positioned... If there are a lot of daytrade shorts and the core market trend is stable/rising it shoots straight up. So, when going into the end of the day... Ask yourself... "Are there a lot of short term biased traders shifting the market away from it's natural trend?" If you think there are too many shorts or longs... Watch for the market to shoot in the proper direction as they close out. Also, the CME pro's do love a good last hour shorts/longs route and drive it for all it's worth.