King, I've been beating this to a drum on here so why stop now right? LOL. The bubble right now is in the emerging market currencies. I keep saying over and over, watch your FX markets. Let me shine some color here. In 2008 during the credit crisis, the carry trade was somewhere between 2 to 3 trillion worldwide. Today? How about 9 trillion. It's off the chart. The exposure in these countries is at a level beyond description. Why? Easy. The never ending zero interest rate environment in the G-10. I think the US will be spared from most of this but the emerging markets are going to get lit up. Guys.....watch your FX! We good? good.
Thats amazing. I simply do not know how big money is allocated by large professionals having not worked in this business. One may think that for the last couple years there has been little good in BRIC economies and equities to justify such large allocation. They did not seem like sexy, hot money , opportunity times like some days gone by. But there is of course massive liquidity due to developed Central Banks. Is it simply relative? Interest rate diffirentials between US,Europe,Japan vs. the Emergings. And regardless , like gravity and water it will flow? Honestly , witout your provided reference i would not know that 9 tillion is BIG. Now i do. thanks.
Atleast i can take solace in the fact i didnt double down again, which i was thinking about doing at 1954 when i had finally felt enough pain, had i done that id be in big shit right now. Going to trade alot smaller for a little bit till things start going my way again, it sucks doing it during volatility but ive been doing some stupid things the past couple weeks since my firm blew out. Got to get back into good habits before something happens that i cant recover from.
LOL, that was where i had my first limit order to sell my massive long from 1972, something tells me that might be wishful thinking now.
Max if 1900 doesn't hold your firm will have lots of company, so there was a guy named spectre used to trade on es thread, was bullish on fed day so he laddered a buy stop order all the way up. Never saw a better trade than that, if you trade futures you can do this small maybe 1 or 2 contracts. The idea is if we probe lower you don't get filled and killed.
We are going to have one hell of a snapback day this week where id imagine thats the way to play it now that there is no support for miles.