"Uh-ohhhhh!" Very low volume in ES futs spells 'Keeping Powder Dry' kind-of day?!?

Discussion in 'Index Futures' started by tommcginnis, Sep 19, 2017.

  1. speedo

    speedo

    No stocks
    They don't buy stocks but the funny money produced by their policies do.
     
    #11     Sep 19, 2017
    TreeFrogTrader and vanzandt like this.
  2. tommcginnis

    tommcginnis

    The ol' inverted-intuition thing -- gets me every time.
    The *product* you are buying produces a stream of cash.
    With more persons demanding the product, the necessary stream goes down while the price (for the product) goes up.

    So, in 'scarier' times, bond prices go up even as coupon pmts go down.
    Or, in 'FED-a'flowing' times, bond prices will sink, and *maybe* pmts (on stuff yet-to-be-issued) will go up.

    So, the answer to your question (TBT, TMV, TTT) is, "I don't know." because they are ETFs, not the underlying paper itself. I don't know what determines their payout or market value, or when they go back to market for re-ups. [Think in terms of VXX -- a *marvelous* idea, until you realize the coming VIX-fut-driven contango.]

    IN THINKING FURTHER... I think the answer to your question and to mine, would be found in putting up a graph of TBT, TMV, TTT against the SPY (+WMV+DIA+QQQ, "WTH"), and compare movement. A positive/zero correlation would tell you a lot about how TBT, TMV, TTT are structured.
     
    #12     Sep 19, 2017
    Stocktracker likes this.
  3. maxinger

    maxinger

    It is quite common for a particular trading instrument to sleep for many many days.

    What you should do is to trade other trading instruments that are not sleeping.
    eg Russell, Nasdaq.
     
    #13     Sep 24, 2017