The SPI Pit

[wayneL]

My observations

I have observed the trading the spi thread for 2 years now. During that time 2 things have become abundantly clear.

1. It is the most enduring and consistently repetitive thread.

You ain't wrong there!

2. When every man and his dog lines up to 'wipe the smile off Bronte's face' its time to go long.

Cheers
Happytrader

HT,

Thank for your anecdote. But both your contention and hypothesis are based on incorrect assumptions. I strongly advise you to keep abreast of all pertinent information before wading into these waters; they are intentionally turbid and you may find yourself up to your @rse in alligators.

You may believe yourself to be partaking in sisterly solidarity with "Bronte", but I remind you, this is the internet. Not all is as it may seem.

Cheers

 

[wayneL]

Thank you professor.
Sorry to "put you on the spot"
It is just so easy to criticize others.

Bronteman,

Your attempt to be ironic is so wide of the mark, so off target, as to be utterly ludicrous.

Your interpretation of peoples interrogitives as criticism, I am sure is worthy of a chapter in some Junge-ian tome.

We are fast approaching the time where action needs to be taken in realation to SPI threads and I would like you to consider the common denominator in all SPI related disaccord, in discerning what sort of action may be necessary bythe moderators of ASF.

 

[happytrader]

You ain't wrong there!



HT,

Thank for your anecdote. But both your contention and hypothesis are based on incorrect assumptions. I strongly advise you to keep abreast of all pertinent information before wading into these waters; they are intentionally turbid and you may find yourself up to your @rse in alligators.

You may believe yourself to be partaking in sisterly solidarity with "Bronte", but I remind you, this is the internet. Not all is as it may seem.

Cheers

Hi Wayne

Thank you for your kind concern. However, I believe assumption 1. beyond dispute. As for assumption 2, well yes it is a bit subjective since I only had two years of info at my disposal. But nevertheless, I think it still has a place in a traders book of signs to look for when a market bottom is near. I might also add bottom feeder, David Tweed is in there too. This information combined with 'after 2 quarters down' look for a long entry in a bluechip is pretty compelling.

Anyway, whats with this cloak and dagger stuff?

Cheers
Happytrader

Disclaimer Do your own research, you'll feel better.

 

[nat]

hmmm interesting answers to my simple question ,im hardly the wiser for this simple easy to understand concept.

Let me throw some more questions out there and c the response to them ,,,,

What consitutes a narrow spread 10 points after its been at 20 ,,,5 points after its been at 10 ,,0 after its been at 5,,,what about when it has overlapped ,futures all of a sudden is lower price then cash ,how do we look at this then ,

Im guessing from other posts its a day system so today for example its been a constant 4 points pretty well so is that narrow or do we wait for confirmation that spread is starting to widen to know .

What stocks do we buy ,im guessing the top 4 or 6 eg ,bhp,rio,anz, cba ,wbc ,,,,do we put some money into all of them or just one or 2 ,do we disregard stops, res and supp points or are they incorperated in this to.

Do we buy stocks and sell futures of equel amounts or is there a ratio to use....eg sell $100000 of futures and buy $ 100000 worth of stock ,

Are these valid questions or are they answered else where and i cant find them,if this is so simple why isnt everyone doing it ,thanx in advance Nathan

 

[spitrader1]

Can you show us where to look professor..actual trade (post #)?
Will you show us an example here next week please.

BRONTE...you really have come unstuck this time my friend...POST NO 1728 and 1727

Originally Posted by spitrader1
+2 @32, ill see what happens, 25 stop loss...


out at 37 for a quick scalp, i think there may be an opportunity here as well just before the cash opens.

thank you for professor for stating what was obvious...the fact that i had posted trades and had posted how i do it...also bronte, I have posted numerous trades on chat for other members to see, you were never in the chat room when these were posted.

 

[wayneL]

spitrader,

Does this make sense?

"It’s also worth noting that we’re not conspiracy theorists, believing that Lee Harvey Oswald acted alone and that George W. Bush really did win the election. Yet, there remains an eerie “bid” in the equity markets since those July lows. For example, markets typically rally, then correct by about one-quarter to one-third of that rally’s point gain, before beginning another rally phase. After that phase, they again correct by one-quarter to one-third before re-rallying. This, however, has not been the case recently. Indeed, every time it looked like the indices were about to correct, mysterious buyers materialized in the futures markets. Those “buyers” tend to widen the futures premiums so far above the cash markets that it attracts arbitrageurs. The arbs, in turn, short the futures and buy the appropriate baskets of stocks. That operation allows the arbs to “lock in” the spread between the futures price and what they paid for the basket of stocks, assuring them a risk-less profit and, in the process, driving stocks higher."

 

[spitrader1]

spitrader,

Does this make sense?

wayne i dont have time to have a proper look at what hes saying, but yes, it appears correct. ill come back to you later mate.

 

[spitrader1]

wayne i dont have time to have a proper look at what hes saying, but yes, it appears correct. ill come back to you later mate.

can any of the mods enlighten me as to the "administrive" issues that have forced the closure of "trading the spi"..

 

[wayneL]

can any of the mods enlighten me as to the "administrive" issues that have forced the closure of "trading the spi"..

Stay tuned. New threads will be opened today for SPI traders.