Definite squeeze on today. Things are going to get woes! The conundrum is the spikes in PT and AU versus what's playing out in US markets and the uncertainty about Eastern Europe and just how deeply leveraged EZ banks are. In my opinion, we may rally like lunatics for now but the bulls are going to eventually end up as Espetada's
john, good point .. but again is it ?? I don;t know, and the question is do we pre-empt or follow ?? I woudl suspect the former and the sell off on Tuesday night in the US wasn;t followed locally on Wednesday to anything near the same degree ??
point I am really trying to raise is that we need to challenge our beliefs. We believe things (often supported by talking heads, chat forums etc.) that are false - and it'll cost us money. So we need to interrograte our beliefs repeatedly ..
ya true.But we were on 3 month support.. But we still opened down and failed to close the gap both very strong signals of follow my leader....the thing is I believe that the US actually is trading against the rest of the world markets not leading or following...this is demonstrated most clearly by the arbitrage of the gaps between the futures and cash markets...US futures rise as the the ftse rises...creating the gap..which when closed will have forced a sell off in the European markets..yesterday is a great example...its our anticipatin of this that creates these long protracted squeeze's between 11-3pm.. Ie if we are up and US futures are positive expect a sell off into the close if we are down expect a rally into the close..ofcourse this works until it does not..