I was referring to the close connection between the euro and
$SPX that you pointed at during numerous times. Probably done
through hedges, like those between the $USD and gold (when one
moves, so does the other). We saw a move down in FXE without a
corresponding move down in $SPX. My inference is that someone was
buying $SPX to prevent its from breaking down. My logic is that
this cannot be done for too long, and when FXE moves down enough,
the $SPX will follow.
I see no fundamental reason for $SPX to go up at this time to
make a new high. If it does, I am not seeing the full picture then.
For what it is worth.
If it's PPT buying the SPY....is there any limit to the amount
of taxpayer money they can throw into that black hole
affectionately known as "current valuations". LOL
Thanks for clarifying and well stated. I will discuss my
thoughts in the weekend newsletter. The SPX can move higher
(possibly in conjunction with a Euro bounce or rally) so please
keep an open mind. Simply put, respect the technicals.
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I have no idea what
Euro (FXE) Daily and 60 Minute
Posted by steve on 13th of Dec 2009 at 10:38 am
I have no idea what you're referring to below. Which market?
The charts specifically relate to the FXE and nothing else.
I was referring to the
Posted by junkie on 13th of Dec 2009 at 12:02 pm
I was referring to the close connection between the euro and $SPX that you pointed at during numerous times. Probably done through hedges, like those between the $USD and gold (when one moves, so does the other). We saw a move down in FXE without a corresponding move down in $SPX. My inference is that someone was buying $SPX to prevent its from breaking down. My logic is that this cannot be done for too long, and when FXE moves down enough, the $SPX will follow.
I see no fundamental reason for $SPX to go up at this time to make a new high. If it does, I am not seeing the full picture then. For what it is worth.
If it's PPT buying the
Posted by steveo on 13th of Dec 2009 at 05:00 pm
If it's PPT buying the SPY....is there any limit to the amount of taxpayer money they can throw into that black hole affectionately known as "current valuations". LOL
Thanks for clarifying and well
Posted by steve on 13th of Dec 2009 at 01:08 pm
Thanks for clarifying and well stated. I will discuss my thoughts in the weekend newsletter. The SPX can move higher (possibly in conjunction with a Euro bounce or rally) so please keep an open mind. Simply put, respect the technicals.