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Rumors Of The Volume's Demise Are Greatly Exaggerated
Volume is not dead. It just hides and make sudden surprise appearances when humans actually override the HFT algos upon the realization that Bernanke's Global Put may not be sufficient at this point. So much for low volume as a result of everyone watching C-SPAN - S&P spoiled everyone's part. Although with the whole world crashing and GS positive, at least it was made abundantly clear who runs the world.
The volume on the SPY today was the highest since the February crash,when US capital markets at least reacted to the Greek contagion, unlike now when nothing can make a dent on the algos, which still have to find Athens on google maps.
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TIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIMMMMMMMMMMMMMMMMMMMMBBBBBBBBBBBBBBBBBBEEEEEEEEEEEEEEEERRRRRRRRRRRRRRRRRRRRR!
Wolf?
lol
The important thing to remember is this - stocks love the following combination of inputs:
Stimuli impact globally peaking
Interest rates which must go up and cannot go down
Taxes going up
Input costs escalating (Dear Fed: Go read ANY industrial company transcript, there is cost pressure escalating EVERYWHERE as a result of your moronic repeat of free money "policy" for a 3rd time in 10 years)
Rates of revenue and earnings growth peaking (this is mathematical fact, not opinion)
Widescale, global deleveraging
Massive global credit risk
What stocks do love is the cost of labor being crushed...and it is being crushed!
that was when you were an employee, now you're (not) a customer.
+1000!
Although with the whole world crashing and GS positive, at least it was made abundantly clear who runs the world.
agreed :-)
They don't rule the world so much, but they do continue to prop up the illusion as such.
Love the GS moxy. It was like they gave the entire exchange the finger. They're getting grilled by the Senate, the market is 'tanking' and GS is the only green ticker in a sea of red. Well played evil squid, well played.
Hell, GS might be the only entity left in this country that can still stand up to this thieving crap government (the real Vampire Squid!) in any significant way. I'm not sure I feel bad about that.
Obama may not have a beak or hang upside down in his closet (yet) but for sure Bella Peloisi vaaaants to suuuck your constitoooootion !!
Thanks for that chuckle. Agreed. Let's not forget, government corruption is the base of our current tyranny pyramid.
certainly part of the base but who is offering the money to corrupt them? the sad fucks in congress get millions; those that pay the millions get tens of billions from the treserve. it is so obviously not an obama/pelosi or bush/paulson thing. it's the u.s. government, both parties, nearly to the man and woman.
Once again, my thoughts are hijacked by Zero Hedge. I must need new tinfoil.
GS is dead.
OBummer needs to destroy GS, cuz he can't stand the competition in wealth transfer.
Appearances are reality
Unfortunately, I have a feeling today will just be another nice little preview as to what the true shitshow will eventually look like.
ZIRP = carry on tomorrow
If the market wants GS dead the market will eventually prevail. Yes, death by a 1,000 slashes. ZIRP couldn't stop crashing valuations in real estate or prop demand so all of the stimulus apparently didn't work (just delay which we all know). Clash for clunkers and homebuyer credit stalled the depression with the illusion of "improving" economic indicators.
I was long GS for the last few days thinking this was just a show. Went to "all cash" today and in 3T will go all "cash" in earnest.
Market is too vicious,dangerous and unpredictable for me. Pro traders I know call themselves dinosaurs. I'm out. Going to go back to deliverying value by working the old fashioned way.
A short story: I had a business partner once who told me a story about a rich Persian in Great Neck or Roslyn he knew who managed to make his own rare chinese vase being shipped from China to US about 30 years ago "disappear". Long story short he was well known in the Long Island Persian community, rich, trophy wife, house decorated with art, marble, etc. Estimated Net Worth tens of millions. I told my partner that it will catch up with him one day. My partner said, "no way", and "He got away with it", they couldn't find the vase and the insurance case is so old it is closed. He lived high on the hog for many years.
I said, "You will see". I didn't know how but the laws of the universe are too powerful for anyone who tries to outsmart it and cheat. And we all have tried - including me.
Well, the Persian whodini is now sitting in jail. Trophy wife shunned from the entire community that once kissed her ring at every communal wedding. No money, no power, no respect. Finished.
That's just how it ends for the unconscionable. Moreso than anyone they go broke slowly and then ALL AT ONCE. Does anyone even talk or think about Madoff anymore? Life has a way of cleansing out the trash and moving onward and forward.
Could GS be eliminated or replaced by an IB with a passion for contributing worthwhile products to the betterment of society?
Ok, so get rid of the Fed, IRS, GS, all entitlement programs (why pretend any are good for society?) and we shall have a pleasant Pandora-like planet and live in peace.
Now, how do I get out of this country?
Buy the pullback. C'mon. Spend them doelarrs while they still have value. C'MON!
Great Article, NO SHIT.
Where are the blind bulls to explain to us this article is nonsese?
Dow 40k! FING BS.
HarryWanker will arrive shortly.
yes, and this time he will say"i told you so". The S&P is up 4 bucks AH. This is what he said this morning.
"
by HarryWangeron Tue, 04/27/2010 - 11:24
#319703
Yes, you will see a volume surge buying anywhere near 1200 SPX. This has been established as very strong support. It's a very easy market to trade on these dips.
Perhaps he is licking his wounds!! Or if not he woul dhave gone short at 1199 and long at 1177. WOW!!
Apparantly you missed his 2nd post were he said after it broke 1200 that 1187 would hold.
Wow, you can make predictions but this guy is a novice as evidence by his misplaced confidence.
Bloomberg does a 180 spin on Grantham's opinions - no mention of all that he said. Amazing but Why am I not surprised ?
http://www.bloomberg.com/apps/news?pid=20603037&sid=aJcJdsu2C34U
I don't think the goldman grilling has anything to do with the market move today! However I do find it very interesting that equities take a beating on the monday of a week where a HUGE U.S. treasuries sale is to be held, sendind treasury prices way up....HMMMMM? very curious?
Europe got bitch slapped.....of course volume was huge
Wouldn't be suprised to see equities start to defy gravity again as soon as the U.S. treasury sales are over with at the end of the week.
Decisions, decisions...do I go to bed at a decent hour or stay up and watch the Asian and then European markets? They might be more entertaining than the hearings today.
With Greece's finance destroyed, is there any word on an all-out bank run yet?
Before responding to the virtually ubiquitous ZH poster "HarryWanger", please be aware of just whom and what you are dealing with in this person:
http://www.minyanville.com/businessmarkets/articles/AAPL-apple-gm-psycho...
His real name is James Kostorhyz, and he is here posing as a troll in dishonesty and in disregard for the fundamental purposes of this forum. He is NOT posting here in good faith, but is purposely antagonizing those with independent, anti-establishment views and opinions for his own selfish and cynical purposes, as part of a study on "the psychology of permabears".
He believes that anyone who opposes the current widespread fraud, corruption and rampant lies within our societies and governments are "utopian" and unrealistic, pollyannish dreamers.
And for those ZeroHedgers who are advocates of sound money backed by gold, this bankster shill is already out there with one of the most disingenuous, dishonest pieces of pro-establishment propaganda on the topic, expounding on how such financial integrity is "impossible", and merely "the rants of an ideological fringe":
http://finance.yahoo.com/news/The-Gold-Standard-Solid-as-minyanville-285...
Please do NOT respond to this reprehensible troll, here or anywhere else on ZeroHedge. He is NOT here in good faith, and should be shunned!
A technical adjustment of 3-4% is well within normal healthy market behaviour. I said it before, the SPX was identical to where it ran from July lows until its first pull back in August. In both cases it ran 17% and pull back nearly 4% before the next leg up. It's how markets function in a healthy environment.
That's why I said worst case scenario is about 1175. Again, this is how a bull market runs. That is why I maintain that we continue to follow that pattern and jump to a minimum 1325 SPX by the end of the year.
If this pull back becomes more like 10%, I would change my mind, as I've said, and sell my long positions. For that to happen, the SPX would have to fall 1100. In my opinion there's a snowball's chance in hell of the occurring. If it does, I'd take a short position.
Do healthy markets go up on light volume and sell off on huge volume? Is that a technically healthy sign?
I could have sworn thats how the market traded in 2000 and 2007, the last two times the Fed convinced dopes the coast was clear (and those were utopian investing conditions relative to the toxic cocktail we looking at now - peaking growth, peaking stimuli, insanely bullish sentiment, interest rates, taxes, global credit bombs)
Also looks oddly like a really problematic monthly H&S formation on the S&P, with whisper light volume on the right shoulder -- probably not a big deal tho, hey we are in a recovery, the Fed will never let stocks go down
Are we junking people now who argue that the market is headed in the opposite direction we think/wish it is?
What is this MoveOn.org? Grow up.
you are absolutely right. a mark of wisdom is listening to disagreement.
I totally agree with this - people should not be junked for thinking the market is going up. But, they should be junked for making assinine arguments for why its going up.
The very easy way to know the market was done going down in 2009 was every idiot in the world was negative for one reason or another - well, every idiot in the world is now convinced we are going to 1400, Fed wont let market go down, recovery is intact, etc. The stupidity is equal in the opposite direction and structural secular economic problems have only intensifed over the last year.
Be positive all you want, just dont give me 4th grade logic like "earnings are really good" - no shit earnings are good, we spent $13 trillion to make sure they were good, now what? How were earnigns in Q1 2009? Not very good, but yet somehow stocks magically went straight up (hint: growth bottomed, money went flying into the system - today, growth peaking, money coming out of the system)
Check out the daily SP chart to see how pathetic this "huge" down day really is.
The long term chart of the Russell 2000 index shows the MACD to be at the highest level since March of 2000. While the SPX and Dow may indeed post modest higher highs in the weeks to come, I believe the RUT has topped.....I have both feet in the double dip camp and believe the S&P will take out the 666 low sometime within 24 months....My final bear market target low is 525 for the SPX.
isnt it zerohedge that has been the main touter of the 0 volume rumour?
So, if the HFT are the only one buying, like the article says...
How is it that "humans" are the ones selling?
More faulty logic.
You forgot the hedge funds are locking up their gains for the past year or so. Liquidating 1-year-holding positions. It has nothing to do with daily algo churning 5 stocks and propping the market up on non existing volume. See the constant rise you see on the indexes is due to low-volume-algo-churning. They sell to each other the same amount of equities every fucking day with little or no human participation. Shit RenTech contributes 20% of NYSE daily volume with their high frequency trading, add to that WS algos and you have app 90% of daily volume. When actual selling days occur, please note, the asymmetrical volume when comparing to the buying days. I hope this answers your question.
called shorting i believe
I think the Market going down with GS stock the only one up on the Testimony was a veiled Threat.
Goldman is trying to show who is really in control of the Country.
Goldman need to be broken up as they pose a Financial Threat to the United States and the Citizens.