8 replies to this topic

[zedor]

The reaction by the market is always instantaneous at the exact second of the supposed release. Mighty fast to read digest and make a decision.

[arbman]

I think they first sell and ask the questions later!

[zedor]

I think they first sell and ask the questions later!

Then why wait for the exact second of the release? The reaction is always the very second. AS if they had the script ahead -- studied it all night -- and allowed to press the trade button only when released



Of course thats not for us the little people.

[Cirrus]

The guys that bought all those OEX puts obviously had the info in advance--they ALWAYS do! By the way--I have a third spike day in the OEX P/C today with the level in the upper 2's. Caution is surely warranted here.

[arbman]

Zedor, are you actually, I mean seriously, asking these questions? You know that the banking cartel is only about to extract the wealth from the small speculators, even from the medium sized ones if they can. First they will feed them and collect interest, then when they can't pay anymore, they will bankrupt them and reposess. The Federal Reserve is a private bank, it has nothing to do with the gov't and the congress heavily benefits from their operations too. They are all corrupt and they will always abuse the financial system as long as they can get away with it... Do you actually need to know more? Actually, it is in their interest at the moment to sustain more economic growth since it simply helps their bottom line, but if they sense that they can not profit from an healthy economy anymore they will drain the money supply and pull the prices before even anyone can react. The Feb 27th shows how vulnerable the financial system still is... So, do not trust them all that much, neither what they are saying... - kisa PS. beside there is really not much in the minutes that tells anything else than lower inflation expectations. The Fed creates the inflation, they do not need to collect any data themselves, so they are basically saying that they will continue to moderate the money supply growth. The money supply growth is already decelerating, so they are telling you that they will not inflate here, so more correction is kind of given. You can skip the entire report and only look at their inflation expectations for this heavily financed US economy...

[fib_1618]

How do they read so fast?

Every floor trader must take an Evelyn Wood speed reading course before they're assigned a badge.

Fib

[jjc]

The guys that bought all those OEX puts obviously had the info in advance--they ALWAYS do!



By the way--I have a third spike day in the OEX P/C today with the level in the upper 2's. Caution is surely warranted here.

I've got a question, perhaps someone might know the answer: Who has access to limit and market
order information in the GLOBEX system?

[arbman]

BTW, the money supply growth leads the economy by several months and it is key to the financing activity. Even if the excess liquidity sloshing here pushes the indices higher one more time, there is no bottom until the summer lows...

[tozwp]

The guys that bought all those OEX puts obviously had the info in advance--they ALWAYS do!



By the way--I have a third spike day in the OEX P/C today with the level in the upper 2's. Caution is surely warranted here.

My theory on OEX options: These are used by big money for hedging. Let's say you are a mutual fund and you see your orders to buy from the public drying up or maybe increasing redemptions. At that point as a fund you might start to purchase puts in the event that this order flow results in a market correction. Multiply each of these individual funds buying protection and you see the spike. I assume the funds all watch their money in/out pretty closely and have an idea what happens when they see incoming money dry up. I don't really know but I do know that those OEX options are expensive and it has to be big money that trades them. I'm sure there's more to this than my simple example but it makes some sense. Its a way to see the elephant's tracks in the market.