06/27/2011 Intraday Watering

[soku]

how could you read volume of currencies..... everytime DX touches 76 it reverses recently.

for futures, the vol is there. /dx vol is always thin. try the currencies like 6e 6j
in spot market, u can only get vol from the broker u subscribe, but there are independent service providers summarizing major broker houses which will cover about 65-80% (per ad). not accurate but a good proxy to watch for vol spike.

[agnosia]

The Federal Reserve will remain the biggest buyer of Treasuries, even after the second round of quantitative easing ends this week, as the central bank uses its $2.86 trillion balance sheet to keep interest rates low.

While the $600 billion purchase program, known as QE2, winds down, the Fed said June 22 that it will continue to buy Treasuries with proceeds from the maturing debt it currently owns. That could mean purchases of as much as $300 billion of government debt over the next 12 months without adding money to the financial system.

How is that not monetizing the debt?! Banana Republic anyone.... The fed is the largest holder of treasuries taking over china a few months ago.

who'd buy us debt if not Fed? you think rest of the world would buy us debt knowing the US$ is going down and down and down?

there was an article on this that said the investment banks are obligated to buy debt not bought by other market participants.. so there will always be a buyer. do you really think they will let this house of cards fall? no way.......

[BBFinance]

Look at precious metals.
Purchased SPXU

[soku]

The Federal Reserve will remain the biggest buyer of Treasuries, even after the second round of quantitative easing ends this week, as the central bank uses its $2.86 trillion balance sheet to keep interest rates low.

While the $600 billion purchase program, known as QE2, winds down, the Fed said June 22 that it will continue to buy Treasuries with proceeds from the maturing debt it currently owns. That could mean purchases of as much as $300 billion of government debt over the next 12 months without adding money to the financial system.

=QE 3, no?

QE 2.5.

Some guys talked QE 2.5 on CNBC weeks ago. It is not new info. Should it justify a big rally?

the 600b is part of qe2 which was disclosed a while ago. nothing new and i don't think it will be an event.

[HK88]

The Federal Reserve will remain the biggest buyer of Treasuries, even after the second round of quantitative easing ends this week, as the central bank uses its $2.86 trillion balance sheet to keep interest rates low.

While the $600 billion purchase program, known as QE2, winds down, the Fed said June 22 that it will continue to buy Treasuries with proceeds from the maturing debt it currently owns. That could mean purchases of as much as $300 billion of government debt over the next 12 months without adding money to the financial system.

=QE 3, no?

QE 2.5.

I am a little confused here, if it does not add money (liquidity), then it should not have an effect

[Cobra]

The Federal Reserve will remain the biggest buyer of Treasuries, even after the second round of quantitative easing ends this week, as the central bank uses its $2.86 trillion balance sheet to keep interest rates low.

While the $600 billion purchase program, known as QE2, winds down, the Fed said June 22 that it will continue to buy Treasuries with proceeds from the maturing debt it currently owns. That could mean purchases of as much as $300 billion of government debt over the next 12 months without adding money to the financial system.

How is that not monetizing the debt?! Banana Republic anyone.... The fed is the largest holder of treasuries taking over china a few months ago.

who'd buy us debt if not Fed? you think rest of the world would buy us debt knowing the US$ is going down and down and down?

there was an article on this that said the investment banks are obligated to buy debt not bought by other market participants.. so there will always be a buyer. do you really think they will let this house of cards fall? no way.......

I know those primary dealers have to buy but fed knows no one would buy from them. This is going to be a dead loop, the more the fed's buying, the less the other countries are buying therefore the more fed has to buy and this goes on, until dollar goes to zero.

[Cobra]

The Federal Reserve will remain the biggest buyer of Treasuries, even after the second round of quantitative easing ends this week, as the central bank uses its $2.86 trillion balance sheet to keep interest rates low.

While the $600 billion purchase program, known as QE2, winds down, the Fed said June 22 that it will continue to buy Treasuries with proceeds from the maturing debt it currently owns. That could mean purchases of as much as $300 billion of government debt over the next 12 months without adding money to the financial system.

=QE 3, no?

QE 2.5.

I am a little confused here, if it does not add money (liquidity), then it should not have an effect

still adding liquidity, as debt holders selling their bond. also this is necessary to keep the rate down since no one except fed is buying. if no fed buying then the rate will definitely go up. I'm sure after QE 2.5 there'll be QE 2.52, then QE 2.521 then QE 2.52108 then QE 2.521001 etc etc...

[Anaconda]

Covered my long on SPY from this morning, at 1279. Not convinced we're going much higher, although certainly possible. Hold long-term shorts on SDS, gold and silver. Still (very) long USD.

Happy trading, friends.

[BullBear52x]

Here my second trial in evil side today.

[agnosia]

The Federal Reserve will remain the biggest buyer of Treasuries, even after the second round of quantitative easing ends this week, as the central bank uses its $2.86 trillion balance sheet to keep interest rates low.

While the $600 billion purchase program, known as QE2, winds down, the Fed said June 22 that it will continue to buy Treasuries with proceeds from the maturing debt it currently owns. That could mean purchases of as much as $300 billion of government debt over the next 12 months without adding money to the financial system.

How is that not monetizing the debt?! Banana Republic anyone.... The fed is the largest holder of treasuries taking over china a few months ago.

who'd buy us debt if not Fed? you think rest of the world would buy us debt knowing the US$ is going down and down and down?

there was an article on this that said the investment banks are obligated to buy debt not bought by other market participants.. so there will always be a buyer. do you really think they will let this house of cards fall? no way.......

I know those primary dealers have to buy but fed knows no one would buy from them. This is going to be a dead loop, the more the fed's buying, the less the other countries are buying therefore the more fed has to buy and this goes on, until dollar goes to zero.

i agree and think that the dollar will lose its reserve currency status over the next few years and will lose it's value... just like what happened in england and the pound.

the four outcomes -
http://www.zerohedge.com/sites/default/ ... tcomes.jpg

[rhight]

I see that XLY (consumer discretionary) is outperforming XLP (con. Staples) in a nice way. Actually, the trend change started not today but a few days ago...

I see the uptrend since 6/16, I'm just not sold on it yet, even though my trading method gave me permission to go long on 6/17. What I see is that a Negative Price Reversal (although not strictly as such, since the 6/22 high was greater than the 6/14 high, but the calculation worked out) on the both the Daily and 60 min. RSI was confirmed on 6/23, and this usually doesn't happen when the Int. trend is changing. It looks more like a consolidation to me, or perhaps a triangle that looks weak on the down side. Very low volume today, not very convincing. I'm ready to go long, just keeping my powder dry for the moment.

[bbc]

how could you read volume of currencies..... everytime DX touches 76 it reverses recently.

for futures, the vol is there. /dx vol is always thin. try the currencies like 6e 6j
in spot market, u can only get vol from the broker u subscribe, but there are independent service providers summarizing major broker houses which will cover about 65-80% (per ad). not accurate but a good proxy to watch for vol spike.

I trade DX futures and E7, AUD. But I don't think that volume is representative. but I do check COT of those.

[Cobra]

i'm still bullish biased today, looks like an Ascending Triangle on QQQ 15 min chart.

[Mario TR]

3 push up?

[TrendTrade]

i'm still bullish biased today, looks like an Ascending Triangle on QQQ 15 min chart.

Cobra, would you say that there is a chance of an IHS forming on the QQQ's over the last 10 days or so?

[Cobra]

i see small ascending triangle or rectangle here, so could be more push up ahead.

[Cobra]

i'm still bullish biased today, looks like an Ascending Triangle on QQQ 15 min chart.

Cobra, would you say that there is a chance of an IHS forming on the QQQ's over the last 10 days or so?

yes, could be a complex H&S bottom in the forming.

[BullBear52x]

last chance for DT bears.

[Cobra]

don't think this is a valid breakout, but it's my lunch time now. I'll have BEEF today.

[99er]

SPX
Update.
http://99ercharts.blogspot.com/2011/06/spx_2467.html
Last chart today. Good luck!