Ah what a silly market, constantly begging for free money and throws a tantrum when it doesn't get it.
As we expected, the BOJ did not save the World and /NKD dropped from 17,600 to 16,400 – too bad we didn't have the balls to play that one! I'm kind of liking /NKD long here (16,400) for the bounce as the Dollar is bottoming at 93.50 and the Yen is topping at 92.50, which is already over the 2.5% line:
The same can be said for Dow (/YM) 17,800, S&P (/ES 2,070), Nasdaq (/NQ) 4,400 and Russell (/TF) 1,140 – we can play these lines bullish (long the laggards) with tight stops below and 3 of 5 must be over to play the slower 2 and out if any 3 of 5 are under – simple rules.
Watch EuroStoxx 3,000 as well – if that fails (I'm fairly sure we bounce first), then the markets all fail with it.
We have GDP at 8:30 with low expectations but be very careful – for now, we're just playing for the early morning bounce off 3,000 in the EU.
Oil (/CL) $45.50 short can make a nice, offsetting pair trade, I expect Brent (/BZ) to be rejected at $47.50.
April 28th, 2016 at 5:16 am
Good morning and wheeeeeee!
Ah what a silly market, constantly begging for free money and throws a tantrum when it doesn't get it.
We have GDP at 8:30 with low expectations but be very careful – for now, we're just playing for the early morning bounce off 3,000 in the EU.