Fed leaves rates unchanged and go on to say that rates should
be expected to stay low for some time
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Fed leaves rates unchanged. No surprise there. They also go on
to say that rates should be expected to stay low for some time
looking forward even though they see signs of economic
strength (chiefly due to draconian cost cutting). The Fed
wonít raise rates until the unemployment picture shows some
sign of improvement. Instead, it continues to deteriorate
albeit at ever slower rates of deterioration.
The ECB leaves rates unchanged at 1%. BOE leaves rates at 0.5
and announces a smaller than expected increase in their asset
repurchase programme (British spelling there). DAX,FTSE and
CAC all lower by about 0.5%.
Initial jobless claims came in at -20K with continuing claims
at 5.7 million. Q3 productivity surges to 9.5% (lower
Will the monthly unemployment number breach 10%?
Gold continues to trade as the anti-currency. In short, is the
dollar under pressure due to fiscal policy and deficit
spending? Yes, so money flows to gold. Is J.C. Trichet backing
away from the EC as being the reserve currency of the world?
Yes, so money flows to gold. Do you really want to own Pounds
with interest rates at 0.5%? No, so money flows to gold.
Although gold will trade and eventually the Average True Range
(now at $17) will approach $35, there seems to be a floor
under this market as long as this currency perception holds.
Yankees win their 27th and the sun also rises. 3
million showed up at their last celebratory turn up the Canyon
of Heroes in 2000. With unemployment brushing 10%, who knows,
3.7 million this time? 3.99? Bread and circuses.
views, speculations and suggestions
till close of business today). These are technical in nature
Dec ES: pos with support at
Dec NQ: pos with support at 1673
Dec Mini Dow: neg with res at
Dec Gold: pos with support at
Dec Silver: pos with support at
Dec Copper: neg with res at 2.99
Dec Yen: neg with res at 111.00
Dec Swiss: neg with res at 99.28
Dec EC: neg with res at 149.68
Dec Canadian: pos with support
Dec BP: pos with support at
Dec Aussie: neg with res at
Dec Crude: pos with support at
Jan Soybeans: neg with rest at
Mar Wheat: pos with support at
Dec Ten Year: neg with res at
Dec Bund: neg with res at 121.60
Dec Dax: neg with res at 5489
Dec NKD potential reversal day
N.B.: if you initiate a trade
using ANY of these numbers use a STOP at least equivalent to 2
Ĺ%. Repeat: use Stops. Donít think about using Stops. Use
Stops. Some find it appropriate to look at the margin
requirement and use that as a stop or if itís a steep initial
requirement, use half.
HYPOTHETICAL PERFORMANCE RESULTS
HAVE MANY INHERENT LIMITATIONS, SOME OF WHICH ARE DESCRIBED
BELOW. NO REPRESENTATION IS BEING MADE THAT ANY ACCOUNT WILL
OR IS LIKELY TO ACHIEVE PROFITS OR LOSSES SIMILAR TO THOSE
SHOWN. IN FACT, THERE ARE FREQUENTLY SHARP DIFFERENCES BETWEEN
HYPOTHETICAL PERFORMANCE RESULTS AND THE ACTUAL RESULTS
SUBSEQUENTLY ACHIEVED BY ANY PARTICULAR TRADING PROGRAM.
ONE OF THE LIMITATIONS OF
HYPOTHETICAL PERFORMANCE RESULTS IS THAT THEY ARE GENERALLY
PREPARED WITH THE BENEFIT OF HINDSIGHT. IN ADDITION, AL
TRADING DOES NOT INVOLVE FINANCIAL RISK, AND NO
HYPOTHETIOTHETICAL TRADING RECORD CAN COMPLETELY ACCOUNT FOR
THE IMPACT OF FINANCIAL RISK IN ACTUAL TRADING. FOR EXAMPLE,
THE ABILITY TO WITHSTAND LOSSES OR TO ADHERE TO A PARTICULAR
TRADING PROGRAM IN SPITE OF TRADING LOSSES ARE MATERIAL POINTS
WHICH CAN ALSO ADVERSELY AFFECT ACTUAL TRADING RESULTS. THERE
ARE NUMEROUS OTHER FACTORS RELATED TO THE MARKETS IN GENERAL
OR TO THE IMPLEMENTATION OF ANY SPECIFIC TRADING PROGRAM WHICH
CANNOT BE FULLY ACCOUNTED FOR IN THE PREPARATION OF
HYPOTHETICAL PERFORMANCE RESULTS AND ALL OF WHICH CAN
ADVERSELY AFFECT ACTUAL TRADING RESULTS.