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Trading the XJO with CFDs

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less volatility than a crowded restaurant of anti-mask Melburnians "....look, i didnt order the entrée !"

yet, top cfd players remain 90% short over the last few weeks, that's not hedging, not with the margin, that's
outright STO positions .....

as Trader Annie Lennox once said, "a sweet squeez is made of these..."

who am i to disagree
 
we appear due for minor trend rotation well held within the channel to
7200 thru 7170

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this would create a floor of the 200220 roof
 
friday saw small churn, good sign longs being closed yet not aggressive selling, $xjo cash closed 7368, the cfd (cmc) closed heavy discount 7266 this morning and that was the low of the session too, the 7200/7170 target is well within range monday/tuesday

..this from experienced trader McMillan, note the breadth observation:

"stock market commentary 06/18/2021

by lawrence g. mcmillan"


The broad market ($SPX) has failed to convincingly break out to a new high, and now it is back below the old (early May) highs of 4238. A close below 4190 would indicate to me that the attempted upside breakout had failed.

Despite recent market weakness over the past four days, the equity-only put-call ratios remain on buy signals. The standard ratio (Figure 2) flattened out yesterday, but the weighted ratio continues to drop. These ratios will remain on buy signals as long as they are declining.

One area that has deteriorated badly and is now generating sell signals is market breadth. The breadth oscillators did their best to hold up, but as $SPX made those new all-time highs from June 10th to the 15th, breadth was struggling to keep pace, and then in the last four days, breadth has given way to oscillator sell signals.

So far, volatility has not increased much, and thus the $VIX chart remains bullish for stocks. That would change if $VIX returns to "spiking mode," but it hasn't done so yet.

In summary, we are willing to give the bullish case the benefit of the doubt as long as $SPX continues to close above 4190, although we will trade confirmed signals in either direction. A close below 4190 would necessitate a less bullish stance.







 
xjo cfd are now rebuying/closing, usually too early

we would need to see a lot more evidence to suggest something else is printing, as it goes so do we!
 
what does window dressing look like ?
what it doesnt look like is "end of year tax selling" !!



it's the trend, stupid !
 
window dressing complete for this round, slump for the rest of the sesh looks good
 
when someone speaks that has the voice of authority, the inference placed into context
#impressivecontext $spx

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but but but

yes, all those reasons are valid

except this one, the one that matters :

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there is an overhead channel we are a long way til we get there, monthly basis, impulsive trend, arguably "better"
than the 2003 take-off
the channels are the annotation
 
sellers left out in the cold, it's just beyond mid-winter and i'm squeezing.....um, freezing.....pun de pun pun


 
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@finicky committed in foresight to take on BBUS, a 1 x hedge bear (unlike the SPXU 3 x bear type)

may prove a smart move, given the small volaltity we have had on an intraday basis not seen thru large-bar basis, over the past few sessions

we should keep in mind that in a healthy and strong bull "neck-snaps" occur without notice, well, not entirely, but not easily seen

BBUS looks like the steel mare of death but those spikes on a % basis area pretty rip

we are in the window-dressing time frame today/tomorrow, monday might be fun for bear funds, jack being a nimble bloke

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