Jump to content

Welcome to the new Traders Laboratory! Please bear with us as we finish the migration over the next few days. If you find any issues, want to leave feedback, get in touch with us, or offer suggestions please post to the Support forum here.

  • Welcome Guests

    Welcome. You are currently viewing the forum as a guest which does not give you access to all the great features at Traders Laboratory such as interacting with members, access to all forums, downloading attachments, and eligibility to win free giveaways. Registration is fast, simple and absolutely free. Create a FREE Traders Laboratory account here.

daedalus

Rethinking EVERY Concept

Recommended Posts

To illustrate this, lets look at EU and yesterdays strong bearish move. What caused EU to drop like it did? Leave fundamentals out of the answer and explain it in the context of orders, asymmetric information, adverse selection, fear, and greed. I leave logical things like FA out because I consider it pre-trade stimuli; fundamental info is aggregated into price later down the chain of events via orders and quote adjustments.

 

I invite anyone to take a crack at the question.

 

Regards,

 

Cornhusker

 

Ok here's my opinion as to what facilitated the euro sell off.

 

Evidence in the order flow would suggest that demand caused by shorts capitulating fueled the move up to 13000 in July. Smart $$ used that range extension above 1.3000 level to cover longs deep in the money as well as to begin establishing short positions.

On the subsequent push up to 13300 levels this past week smart sellers, seeing weak demand, defended their newly initiated shorts as well as adding new shorts. Then throw in late to the party weak longs selling to cover and we have a nice sell off.

 

Once the initial heavy demand caused by shorts getting squeezed was taken out of the mix the whole dynamic of the order flow changes which set the stage for this sell off.

 

My :2c: anyway.

Share this post


Link to post
Share on other sites

has anyone ever heard a news reporter, or tv presenter say anything other than

"the market selloff was due to profit takers"

why cant a market sell off be due to other reasons.

eg; loss takers (I guess this is a short squeeze), short initiators, fundamentally crappy value, panicky longs

 

As this answer is normally reserved for equity sell offs, I wonder how they apply it to FX which is a relative bet. (even though equity investment could also be defined as a relative bet between being long/short equities v short/long cash or some other investment).

 

eg; in a EURUSD - is it the shorters getting squeezed or the longs capitulating..... i guess its a matter of perspective.

I actually know a fund manager who claims he only ever takes long positions in currencies.....(and in case you are wondering - he had share classes in his fund that were based in multiple currencies)

Edited by SIUYA

Share this post


Link to post
Share on other sites

I enjoyed both Macdfx's video and yours Osbourne. Its the sort of thing worth exposing yourself to slightly different perspectives on.

 

It is b funny that the Aussie polis are busy promising to fix public education by rewarding the best performing teachers. Kinda like the "leave no little sod behind" that you guys have over there for screwing up education to no good purpose. Another stupid election campaign with pork being offered to all who will vote for them.

 

On topic though I came across a post by Hanover on a different web site beware, rubbish often spoken here :)

Share this post


Link to post
Share on other sites

On a similar vein for those more interested in management and motivation a good read is

"hard facts dangerous half-truths and total nonsense profiting from evidence based management" - Jeffery Pfeeffer, Robert Sutton......it looks at the evidence and not the myths behind a lot of corporate ideas. One of them is the financial rewards carrot and stick gospel/baloney.

This is also relevant to trading as it gets you to focus on the evidence and not on the hype and myths.

Share this post


Link to post
Share on other sites

Join the conversation

You can post now and register later. If you have an account, sign in now to post with your account.
Note: Your post will require moderator approval before it will be visible.

Guest
Reply to this topic...

×   Pasted as rich text.   Paste as plain text instead

  Only 75 emoji are allowed.

×   Your link has been automatically embedded.   Display as a link instead

×   Your previous content has been restored.   Clear editor

×   You cannot paste images directly. Upload or insert images from URL.


  • Topics

  • Posts

    • ...hallucinates.... Student: “What if we gave the monkey LSD?” Guru: “The monkey already did LSD”
    • Question: To those that had/have cancer, what were the signs that made you think “something is not right here” to make you go see a doctor? Answer: So, 5/25/2018, I woke up, got ready for work, and as I walked to my car, I started gagging. Like something was stuck in my throat and I needed to clear it. And then it went away.   But 10 minutes after that, I was T-boned at 40mph on the driver side door. But what made me see a doctor was while my muscles felt better and bruises were going away, the gagging still continued, I started having fevers, my neck felt swollen, I was having such a hard time breathing, and I'd have random sharp pains in my chest, but not from where the seat belt saved me.   2 weeks after the accident, I finally see an urgent care doctor, who looks me over, tells me I'm fine, but luckily requests a neck X-ray. And I ask for a chest X-ray, which he rolls his eyes but let me have (most of my pain was in the neck, so I understand).   The very next day, he calls and says “So, that chest X-ray shows there's a 4 inch mass on your heart and lungs, and your lungs have been filling up with fluid, as well as in your pericardial (heart) wall. We need you to come in tomorrow.”   Turns out the big mass, due to the accident, caused my heart and lungs to tear and fill with fluid, the swollen neck and gagging was caused by 2 metastasized tumors, and the fevers and weight loss were symptoms. Stage 4b Hodgkin's Lymphoma.   But thankfully, we went very aggressive with chemo (and had a lot of bad side effects that don't normally happen to patients), and now I'm about 16 months cancer-free. Yay lucky X-rays! Rachel Jurina, Quora Source: https://www.quora.com/To-those-that-had-have-cancer-what-were-the-signs-that-made-you-think-something-is-not-right-here-to-make-you-go-see-a-doctor   Profits from free accurate cryptos signals: https://www.predictmag.com/  
    • As a man, the reality of life is the harshest part. I don’t mind looking older or becoming weaker over time; it’s nature.   Have you ever heard that the only people who will be loved unconditionally are women and children? Men will only be loved as long as they can provide until they are no longer needed. It doesn’t matter if you already did your best to get your kids to the best school or get the best things for them, if you stop before they’re done with it, there will be no thank you. The only thing they will remember is that they have to quit school at 15, ignoring all the previous 15 years of life you provided for them. The only people who will accept you, no matter what, are your parents. But in this situation, you might be that ungrateful child.   EDIT: Wow, I didn’t think this would get so much attention.   For those who disagree, I can only say that everyone has their problem. If you don’t get the chance to face such a thing, be grateful. Remember, sometimes what you throw in the garbage is something that someone wishes ever to have.” – ElZee, Quora   Profits from free accurate cryptos signals: https://www.predictmag.com/    
    • The good thing i had noticed so far is that the traderpot value is also on the rise..
    • yup its a gradual rollout the right way in my opinion, its really good and its exciting for the sto in 2027
×
×
  • Create New...

Important Information

By using this site, you agree to our Terms of Use.