Here Comes The Herd: "Highly Volatile Trading Conditions Expected Ahead"

Tyler Durden's picture

Last night we presented a very disturbing warning from one FX broker, Oanda, on what Sunday's election could mean for FX trading on Sunday (nothing good). And, as often happens in such instances, the idea has now been "incepted" - look for every FX brokerage to follow suit, likely followed by the plain vanilla exchanges to issue comparable warnings ahead of Monday.

From FXDD:


And for a suddenly very appropriate primer on herd dynamics we recommend the following article from Spiegel.

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Cognitive Dissonance's picture

Snagglepuss - "Exit stage right."

(In fact it doesn't matter where you go as long as you get away from ground zero.)

Pladizow's picture

If a Gov was thinking about it, this weekend would be a good time to officially devalue.

SilverTree's picture

Just sitck your finger in a dike.

knukles's picture

Add funds to your account....
What could go wrong?

Troll Magnet's picture

seriously, what the fuck is up with greece? the rothchilds couldn't force them to use diebold or what?

Sudden Debt's picture

Adding funds....

Being closed out from your account...

Get a penny per grand in compensations....

noses's picture

Idiot. These weren't your fingers, it was your nose.

Ahmeexnal's picture

Ahhh....another rig operating out of templar owned Malta.
What could they possibly know that the sheeple watching euro2012 soccer tourney don't (and in most likelyhood will never care to know)?

knukles's picture

Wasn't that where Gene Saladin had that hole in one?

WmMcK's picture

Gene Sarazen - double eagle - 1935 Augusta?
Or is that one too many slippages?

Vincent Vega's picture

CD & WS8M8B, You guys are showing your age (and mine). Thanks for the laugh.

Cognitive Dissonance's picture

Glad to be of service. We old pharts need to stick together.

Can't wait to move into my kid's basement after they cut my SS stipend. :)

Divided States of America's picture

If these arent huge flashing warning signals beaming right in front of you, then you deserve to lose all your money.

Cognitive Dissonance's picture

Hence my advice (above) to "Exit stage right".

Carl Spackler's picture

"after they cut my SS stipend"

CG, at least you're getting something - anything - from SS.

When I was in college in the 1980's, the economic textbooks proclaimed that I would pay 7 units in to receive one unit back in benefits from the Social Security fund, while the "Baby Boomers"(i.e., the greediest generation) got 7 units back for each unit they paid in.

Looks more like I should expect to receive $0.00 with SS on a path to going bust.




financial apocalyptic contagion's picture

The markets are so fucked up

Trading limitations are imposed but we can still "share" this amazing announcement on fuckberg and shitter

UP Forester's picture

You must mean financial markets.

The Farmers Markets in the area are going gangbusters.

Will let you know when the biggest one IPOs, 'cuz they actually serve a useful purpose....

Cognitive Dissonance's picture

Old phart and proud of it.

That is also why I try to include reference links. So the young em's can keep up. :)

Dr. Richard Head's picture

Back in my day we didn't have cartoons.  We used to dress up our cats and pull their tales for entertainment. 

Hell, back in my day we had silver money.  I remember when I was a young man I could buy a hooker for a silver dime.  Those were the days.

El Oregonian's picture

Yea, and you probably had to spend a $20.00 Gold Walking Liberty coin for medicines to clean it up the diseases... 10 cent hookers?

Pairadimes's picture

Give it a few short years, and that silver dime will once again be all you need.

Dr. Engali's picture

They don't know what they are missing with some of those old politically incorrect cartoons.  Ahh good times ;->

BLACK_DOG's picture

roast is rear !

(old phart too)

Michael's picture

Sometimes with age goes extended knowledge and wisdom.

Magoo's Surprise Party

Buck Johnson's picture

The market should be bloody tomorrow, if not the PPT is working overtime to keep it up.

Spitzer's picture

CNBS "How to Euro proof your portfolio"

Euro low is in.

Time for the dollar to eat dirt

Dr. Engali's picture

I tend to agree with you. There are way too many shorts on the Euro now......unless they cover going into the weekend. Then it should be interesting.

xtop23's picture

Agreed. I went short USD a tad early. Hanging onto my position though.

HoofHearted's picture

So, are they saying..."You're all dumb money and are going to get this all wrong. Get out while we can still use your cash as margin for us to lever up on some prop bets."

Matt's picture

Or they don't want to take losses for other people's bad bets. If someone is at 100:1 leverage and there is a 2 percent move when markets reopen, wouldn't the FX trading service lose the difference between the clients' assets and the money owed? Even if the client has some cash reserves in case of margin calls, if it is not enough, the rest of the loss would be taken by the service, right?

Yen Cross's picture

 I'm going to "Wally World" , after I get my haircut tomorrow morning. The auto pilot is set.

lolmao500's picture

Volatility : money.

rumblefish's picture

so if the greece leaves the euro --> euro stornger? --> Dollar falls? -- > Dow +350?

lolmao500's picture

The markets are so insane, this is probably what's gonna happen... anyway, the longer Greece stays in the euro, the worst it will be. Them leaving quickly will be the ``best`` scenario...

geewhiz190's picture

what if the election has no winner ? do they vote again? and again?  this is the most widely advertised potentaily volatile event since y2k.

Matt's picture

If the election has no winner or somehow New Democracy forms a coalition, EUR could surge and the massive losses could be to the shorts. It could go either way, so best to get out of the pool. 

Someone will probably have to govern with a minority or coalition, you can't just keep having election do-overs in perpetuity.

MarsInScorpio's picture

Yes you can.


This isn't NFL football where you go to a different system if the game is still tied after two attempts to score.


ThirdWorldDude's picture

In Europe we have (penalty) shoot-outs if the game's a draw after extra-time...

walküre's picture

Now that would be cool. Have the candidates draw duelling pistols in the wee hours of the morning after.

Carl Spackler's picture

3rd World Dude...yours is a true statement, and it reminds me of an old Monty Python's Flying Circus episode in which the Greek philosophers (i.e., Socrates, Plato, Archimedes, among others, in their togas) were playing againt the Germans (Marx, Nietzsche, et al.) in a football match.

The comedy was genius...Socrates just stood at mid-field walking around aimlessly and pondering!  I seem to recall that the match ended in a draw.  Found the link...

Something tells me such is a microcosm of what the world should expect out of the European Union this weekend ! 

sunaJ's picture

Oh reeeeeeeeally?