Morning Thoughts 2/14/11

AdamAdam Grimes's blogs, General CommentsLeave a Comment

Good Morning traders, World markets are mixed this morning.  Asia sharply higher 1.2% to 2.7%.  Europe is a little soft this morning, down an average of about 0.8% (broad European index -0.5%). We do have some decent sized moves in currencies to start the week:  the Euro is weak (EURUSD EURJPY EURCAD all down) and NZD is weak.  With the … Read More

Morning thoughts 2/11/11

AdamAdam Grimes's blogsLeave a Comment

Good morning traders, Very little has changed this morning–I could pretty much cut and paste my comments from previous days. The market is locked in a higher timeframe consolidation, and there are two key elements short term traders must keep in mind: 1) in this type of pattern low volume, choppy trading predominates and 2) breakouts from these areas tend … Read More

Morning thoughts 2/10/11

AdamAdam Grimes's blogs3 Comments

Good morning traders, For many, many weeks, the pattern has been that every dip is bought.  Every selloff finds ready buyers, and, so, there has been a complete lack of downside momentum on any decline.  It is difficult to read a market that is consolidating sideways on low volume, so both bulls and bears are watching for a break of … Read More

Morning thoughts 2/9/11

AdamAdam Grimes's blogsLeave a Comment

Good morning traders, I’m fighting some more computer gremlins this morning, so this will be very short and to the point. This morning, we find work equities down in reasonably large moves.  Asia is off 1+ – 1.7% across the board, and Europe is down roughly 0.5%.  Note that Australia, Japan and German all made 52 week highs overnight, failed … Read More

Morning thoughts 2/8/11

AdamAdam Grimes's blogs, General CommentsLeave a Comment

Good morning traders, Rather than clouding the picture with a lot of potentially superfluous information this morning, let’s focus on the key divergence in the US market.  The chart below shows the divergence between large caps and mid caps in the US market, illustrated here via S&P 500 and Russell 2000 cash indexes, though the exact choice of index is … Read More

Morning thoughts 2/7/11

AdamAdam Grimes's blogs, General CommentsLeave a Comment

Good Morning Traders, I will be in and out of the office this week, so keeping today’s comments a little shorter than usual.  In general, there are 4 macro themes I am watching this week. Interest rate futures (10 and 30 year) have a pretty good longer-term sell setup.  This is an outright directional play, but also has implications for … Read More