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More Liquidity Coming


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#1 redfoliage2

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Posted 26 July 2020 - 07:42 PM

https://www.zerohedg...age-replacement



#2 redfoliage2

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Posted 26 July 2020 - 10:15 PM

Bears just got their legs pulled by something/someone last week on Thursday and Friday, believe or not ........................


Edited by redfoliage2, 26 July 2020 - 10:19 PM.


#3 redfoliage2

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Posted 26 July 2020 - 10:59 PM

On top of that there is a Fed meeting on Tuesday and Wednesday. Going to be a big week .......

#4 redfoliage2

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Posted 27 July 2020 - 09:29 AM

This is a unprecedented market with unprecedented liquidity from the CBs and the governments.  In this unprecedented time the stock market is the container to hold the liquidity (where else the liquidity can go?) and thus the fundamentals and some TAs are irrelevant.  I expect SPX to make ATH before any meaningful pullback.  BTW, it looks investors consider QQQ is the gold, actually better.......................


Edited by redfoliage2, 27 July 2020 - 09:38 AM.


#5 pdx5

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Posted 27 July 2020 - 09:53 AM

Even if the CB's were not regurgitating liquidity like a man with very bad stomach flu,

the private money has no place to go except stocks. NOPES (no other place except stocks).

MM's are paying 0.02% while real inflation is 200 times higher than 0.02%.

 

My MM fund in variable annuity is yielding negative yields due to charge for life insurance.

And corporate & Treasury bonds are a time bomb when interest rates finally go up.

 

To da moon baby!


"Money cannot consistently be made trading every day or every week during the year." ~ Jesse Livermore Trading Rule

#6 Darris

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Posted 27 July 2020 - 10:26 AM

Took some time to review the last 20+ years of GOLD-DOLLAR-SPX, and it sure looks like this chart supports the repeat of the 2009 thesis.  QE has now become a learned outcome.  The long term history of the Gold/dollar relationship was well known until Nov 2012 when the new Japan administration took on their own NEW method of QE by YEN devaluation which corrected the last Gold top, so for now, the dollar may be moving Gold more than the YEN.  A new effort to devalue the YEN would be something to watch for in future years to peak Gold again because Asia and European administrations follow the US FED QE moves years afterwards.  

  ducZUg.jpg



#7 blustar

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Posted 27 July 2020 - 01:25 PM

We have the set up for some nasty NEG D's. Be careful. I see a top on Wednesday.



#8 Darris

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Posted 27 July 2020 - 03:48 PM

Recency bias tends to distort our interpretation of indicators once thrusting momentum curls down rapidly.  Longer term breadth and price values are still well above support and the Nazdaq up/down volume is still smokin hot.  If we can get a decent sell off after 2pm on Wed, I would expect it to get reversed hard to the upside.  Probably a hard fought minor down day on Thursday, and top tick close on feel good Friday.  Anything related to VIX going up will continue to get hammered this week.  Fear meter bottoms are coming at higher lows now as the VIX downtrend continues.



#9 redfoliage2

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Posted 28 July 2020 - 06:16 AM

ST this market is news-driven and now it depends upon what will come out of the Fed meeting tomorrow .................


Edited by redfoliage2, 28 July 2020 - 06:16 AM.


#10 redfoliage2

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Posted 29 July 2020 - 02:32 PM

The Fed remains highly accomodative, don't fight the Fed.........................