The price action over the last couple of days has lived up to its reputation of up a day, down a day price action during the expiration week. However, the algo “flash boys” misread the script …
Snippets: This is disgusting:> Americans Making $100K+ — Pay 72% of All Federal Income Taxes! Obama has Proposed 442 Tax Hikes Since Taking Office…stockmarketwhisperer
CHINA’S FOREIGN CURRENCY RESERVES HAVE REACHED 4 TRILLION DOLLARS. THE MORE INTERESTING PART IS THAT THEY HAVE 2/3 IN DOLLARS AND 1/4 IN EUROS…SPECULATION IS THAT THE STRENGTH BEHIND THE EURO IS THE CHINESE TRYING TO DIVERSIFY FROM DOLLARS TO EUROS – FINANCIAL TIMES.
ALSO, TROOPS ARE OCCUPYING UKRAINIAN BUILDINGS IN 10 DIFFERENT CITIES. UKRAINIAN TROOPS HAVE YET TO BE SEEN TRYING TO REVERSE THAT. MEANWHILE, THE TELEGRAPH POINTS OUT THAT RUSSIAN COMPANIES CANNOT ROLL OVER THEIR DEBT AND ARE PERILOUSLY CLOSE TO DEFAULTING ON DEBT.. THE ESTIMATES ARE THAT THEY NEED 10 BILLION A MONTH OF ROLLOVERS…RUSSIAN STOCKS AND BONDS REMAIN UNDER PRESSURE – Andy Brenner RBC.
Chatter – Russian 45th Airborne Unit was ‘caught’ assembling at a captured airfield INSIDE Ukraine and came under attack by 4 SU-27 Flanker fighter-bombers and 3 attack helicopters of Ukraine’s Air Force. Russia reported one ‘may’ have been hit by Russian return fire. Again; if confirmed this would affirm that Russian main-body forces were already IN Ukraine before the attack to liberate and recapture the airfield.
Today started with 240k ESM traded on Globex, trading range was 1830.75 – 1821.75. Yesterday’s regular trading hours (RTH’s), pit session trading range was 1828.00 – 1808.50 before settling at 1824.50, up 12.8 handles. Last night there were reports of Russian troops on the ground inside Eastern Ukraine … and a soft Asian session was shrugged aside as the European session helped firm the global markets. Empire State manufacturing dropping to its lowest level in 15 months was even brushed aside.
Today’s RTH’s, pit session gapped 3 handles higher to 1827.80 – 1827.50, traded an early low of 1826.20 before extending yesterday’s late afternoon Passover / Tax Day Rally to 1837.30 – nearly 10 handles above yesterday’s high. Well, that was before the Ukraine troops engaging in military conflict with Big Brother as chatter of civil war within Ukraine is being thrown about – most likely by the agitators themselves – the Russians. Those risk headlines broke the support by flipping the new bulls as the algos ran sell programs and the running of the stops did its thang – all the way down to 1809.80 – holding yesterday’s low of 1808.00 and Friday’s low of 1808.50. How important was holding those lows? Well, the algos did their thang and flipped the weak shorts as the equities quietly and mechanically stepped higher throughout the midday. stockmarketwhisperer (11:05) yep.. I hinted to that yesterday… our ranges are going to get larger now – moon changing ‘moods’ now…into different sign – 200 pt swing in the [DJIA] intraday … love it! Also, Fed Chair Yellen’s prepared text had little effect on the markets as the geopolitical risk events picked up considerably.
Es is green, …No… ES is red… My positions are many, and there’s a dizziness in my head The market’s bi-Polar… a real rock and roller… The bulls make a run then go hiding for fun. The bears drop the soap We’re all on the ropes Let’s just keep riding these waves … Volatility… for the pros … and the brave! stockmarketwhisperer a little poem..to relieve the nerves – as the June Nasdaq future broke through the year’s low, 3431.50, coming to rest at 3405.00 – Sam_E (12:01) big fib nq 3405 – don’t bother checking – you know that was posted pre-trade and subsequent bounce 80+ handle rally …
WOW … volatility rollercoaster as the late afternoon rose higher … and higher to new intraday highs…
Eco calendar: http://www.investing.com/economic-calendar/