ECB To Loosen Rules On QE In Bid To Keep The Kool-Aid Flowing

The British pound wasn’t the only thing stirring in FX markets on Thursday. Have a look at the EUR: Ok, so we know what happened at 11 am ET. As we detailed earlier, that was Bank of England governor Mark Carney telling everyone what they already knew - policy easing from the BoE is on…

“Fear And Greed”: Central Bank Front-Running And What It Means For Traders

“Fear and greed [used to be] a continuum, allowing for an ebb and flow with continuous price discovery and availability,” Bloomberg’s Richard Breslow wrote on Thursday. “What we have now is pedal to the metal front-running of central banks and the nagging fear that when the fun ends there won’t be a bid anyway, so…

A Cautionary Word About Trading And Policymakers On An OPEC, ECB Thursday

I want to talk a bit about perceived policymaker ineptitude today in the wake of the OPEC and ECB meetings, both held in Vienna. First, let’s do the headlines: we got nothing in the way of an agreement out of OPEC and no policy change from Draghi. To be sure, both of those outcomes (or…

It’s Good To Be King (Dollar) - Or Is It?

It’s Good To Be King (Dollar) - Or Is It? Heavy is the head that wears the crown. It’s good to be king. Asked to choose which of those old adages best describes how it feels to control the fate of the world’s reserve currency (“king dollar”) in a time of intractable currency wars and…

Implied Volatility Expected Move

Implied Volatility Expected Move Every week we need to look at the implied volatility and expected move for the week. Comparing the implied volatility and expected move to the previous week will tell us if there is more risk in the market. For next week the oil production report is coming out and the FOMC…

Volatility is Your Friend

Volatility is Your Friend Volatility is your friend and it's back! Today's market saw more than a 40 point move in the SPX and 100 point move in the NDX from high to low intraday. This sets up some great trading opportunities for us. Today I was able to intraday date FB and QQQ short.…