International markets traders banter

[sinner]

Here's an article i wrote for a website on the Eurostoxx50 after yesterdays sell off.

Hi Can, what duration do you use for your VWAP? In the screenshot it says 255, is it 255 day VWAP?

 

[Modest]

What the hell is going on with the order flow on the ES???

 

[CanOz]

Hi Can, what duration do you use for your VWAP? In the screenshot it says 255, is it 255 day VWAP?

There are two continuous VWAPs, one has one years worth of rolling data (365 days), the other has 1000 days.

 

[CanOz]

What the hell is going on with the order flow on the ES???

8:16*(CN) CHINA PBOC CUTS KEY RATES (both RRR and 1-year rates)- Cuts 1 year deposit rate from 2.00% to 1.75%- Cuts 1-year lending Rate from 4.85% to 4.60% more... (related USD/CNY FXI EUR/CNY EEM CNY/USD CYB) - Source TradeTheNews.com

Bonds just sold off and the equity indices all spiked.

 

[PinguPingu]

Lol China, so much for holding off on ammo

 

[CanOz]

Same old same old, shorts run for cover and new weak longs jump in....then the market says "" it must be bad!

Shorts run out of steam, no new longs? WTF! New shorts initiate, weak longs liquidate....

 

[sinner]

There are two continuous VWAPs, one has one years worth of rolling data (365 days), the other has 1000 days.

But there aren't 365 trading days in one year? There are (at most, excluding holidays) five (one week of trading days) multiplied by fifty-two (one year of weeks) which equals 260. The other common "rule of thumb" calculation is twenty-one (one month of trading days) multiplied by twelve (one year of months) which equals 252...

 

[sinner]

Here is another weird observation.

Normally when there is marketwide trouble, money flows out of risk and into the USD and JPY. Even the USD runs to JPY.

Except...except this time.

This time it was EUR and JPY.

Weird...

 

[CanOz]

But there aren't 365 trading days in one year? There are (at most, excluding holidays) five (one week of trading days) multiplied by fifty-two (one year of weeks) which equals 260. The other common "rule of thumb" calculation is twenty-one (one month of trading days) multiplied by twelve (one year of months) which equals 252...

No Reason Sinner. I don't trade off that chart i only use it for context. I'll post the 252 and the 260 for interest.

 

[cynic]

Here is another weird observation.

Normally when there is marketwide trouble, money flows out of risk and into the USD and JPY. Even the USD runs to JPY.

Except...except this time.

This time it was EUR and JPY.

Weird...

View attachment 64025

Is it really that weird when you've got whatever it takes Drag it on with all fingers hovering above the mo money button?

 

[skc]

Here is another weird observation.

Normally when there is marketwide trouble, money flows out of risk and into the USD and JPY. Even the USD runs to JPY.

Except...except this time.

This time it was EUR and JPY.

Weird...

I guess this time the long USD was the very crowded trade. The trouble was essentially a growth scare, which potentially pushes back the USD rate rise... so the long USD hoard needs to unwind. But seriously, how's pushing back a 25bps rate rise by a few month actually mean in terms of returns?

Definitely not as much as the 3% rise in EUR/USD cross rate suggested.

 

[CanOz]

Just thinking of context here Sinner, but could the USD be experiencing outflows in this context, the Fed will delay the rate rise, the USD sells off...The EUR is negatively correlated.

 

[CanOz]

Here are the three VWAP Charts, 260, 252, 365.

 

[notting]

China cuts rates by .25 basis points and 15mins into trade there is not one stock on the S&P in the red and only four neutral. Fricken unbelievable.
BHP looks at 5% gains in London.
After the worst 3 days ever, we have the best day of 2015 right now.
What's the Shang Bang Dang going to do tomorrow? A rally of %12? I hope not.
We told you not to panic - CCP. It's your fault now.
Wait till September .

.25 is a spud gun. They better be about to role out something much bigger.

 

[cynic]

Can anybody here confirm whether or not the .HK 40 cash opened anywhere near or above 21953?
I seem to have gotten a very dubious fill on some limit orders this morning.

 

[cynic]

Can anybody here confirm whether or not the .HK 40 cash opened anywhere near or above 21953?
I seem to have gotten a very dubious fill on some limit orders this morning.

CFD provider just acknowledged their error and corrected the fill. After all what's a mere 600 points between friends!?

 

[notting]

Chinese Dictatorship is pretending its not going to support the stock market any more but it's in there this morning!!
Trying to get the people imagining the market is ok on it's own now!

 

[CanOz]

Is that necessary Notting?

 

[notting]

Is that necessary Notting?

It's better to see what's happening but this probably isn't the place to debate that. It's up to you.

 

[avion]

Devaluation Stunner: China Has Dumped $100 Billion In Treasurys In The Past Two Weeks

http://www.zerohedge.com/news/2015-...s-dumped-100-billion-treasurys-past-two-weeks

Crazy times indeed...

Now they talking hyperinflation.