You Do Not Sell New Contract Highs You Buy Them

Discussion in 'Index Futures' started by Point Man, May 6, 2003.

  1. Eurodollar futures set new contract highs last week and again today. The Fed knows all too well how to fight inflation. Like the Japanese, they do not have a clue on how to fight DEFLATION. This 3 year trend will remain your friend in securities and equities. SELL MORTIMER SELL
  2. himself


    You might keep in mind, however, that this Thursday both the Bank of England and the European Central Bank hold meetings. If the ECB cuts rates it could adversely affect the Euro.
  3. Tea


    I wonder if ultimately, restricting free trade will be the only way to fight deflation in some countries.

    Would not like to see it, but who knows?

  4. ah... according to my charts the Eurodollar futures contract did not set new contract highs today or last week. It did so on March 10.

    If what you meant to say is that the futures contract that represents the rate between EUR/USD set new highs *then* you would be correct.

    However, a Eurodollar does not equal a EUR/USD. There's big difference.

    Dr. Zhivodka
  5. Pabst


    Back month Euro's made new highs today. The front is pretty well pegged to Fed Funds and with no Fed action today not much room for EDM to rally. EDZ and everything further out did make contract highs.
  6. Yes, so it did....

    .....with an implied rate of less than 1.2%

    Now that's funny! :)

    Dr. Zhivodka
  7. December 2003 Eurodollars through to March 2005 set new contract highs. December 2003 is the lead month in terms of volume. I trade March 2004. We closed today at 9866. My long-term objective is 9950, on the back of dramatically lower stocks. Do not underestimate the power of the bear. The bear can undo two months worth of hard work in two weeks.
  8. You must be kidding. Deflation is very easy to fight. Just issue money.