Yeah I think $6T on the sidelines is a little misleading but we definitely are crashing up and the the govt will continue to print money to pay all these debt payments. No idea when it ends or if we go into a catabolic hyperinflation period like Japan did back in the day.

    and again, something like 6T

    Posted by matt on 16th of Feb 2024 at 02:41 pm

    and again, something like 6T on the sidelines, how does that provide a trigger for a trade, a position, it's meaningless to your trading. It's something to be aware of but to me it's just extraneous information that doesn't affect my trading plan

    How much of that 6T

    Posted by scooter on 16th of Feb 2024 at 03:49 pm

    How much of that 6T is sidelined and can never make it to the market.  Some in annuities, bonds etc.  How is this calculated?

    A lot of it is

    Posted by DigiNomad on 16th of Feb 2024 at 04:00 pm

    A lot of it is cash in money market funds that wouldn't be appropriate in equities. Think about the cash hordes on the balance sheets of just the Mag 7.  That money sits in money market funds and generates significant cash flow (these days). 

    If you're trading plan is

    Posted by DigiNomad on 16th of Feb 2024 at 02:55 pm

    If you're trading plan is to trade the daily and weekly timeframes, having an idea about the macro overview and potential catalysts can help you decide when a swing trade has a high probability of working out. If you're taking a medium term swing now with a 7% stop loss in place, your risk reward probably isn't that great.  But, if you firmly believed or had inside information about 6 trillion potentially being deployed, maybe you loosen your stops and average down.  Shorter term traders have less or no need for a macro overview. 

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