March 19th, 2013
in Gary's blogging
Closing Market Commentary For 03-19-2013
The averages seemed to be manipulated this afternoon as the HFT computers moved the numbers off the low around 1:30 up a few points and jerked them down again, upped them and lowered them. On the second attempt a lot of green volume was pumped in as the 'sheeples' were convinced this was a real bull run only to get fleeced as the algos gave the averages another haircut. Up down, up down, up down, what a joke on anyone that thinks this is for real.
Markets closed flat, mixed and useless, I mean directionless.
More on the Cyprus fiasco.
The House of Representatives in Nicosia rejected the bill that would have imposed a haircut on the island's bank accounts, with 36 deputies voting against and 19 abstaining. Not a single Yes vote was registered. Read More Here.
We were waiting for the ECB response, and seconds ago we got it, when the ECB uttered the magic words, saying it would provide "liquidity within existing rules." What this means is unclear, but the algos loved it and sent the EURUSD up over 50 pips higher in milliseconds.
What the algos apparently don't get is that this does not account for the additional liquidity needed that would only be released if Cyprus passed the bailout vote. The last thing the ECB wants is to appear weak, and fold letting every other broke deadbeat country to demand the same equitable treatment and diluting Germany's political might. For now however, [this] is a move to be faded.
The DOW at 4:00 is at 14455 up 3.76 or 0.03%.
The SP500 is at 1548 down 3.76 or -0.24%. (not a typo)
SPY is at 154.70 down 0.27 or -0.17%.
The $RUT is at 942.85 down 4.35 or -0.46%.
NASDAQ is at 3229 down 8.49 or -0.26%.
The longer trend is up, the past months trend is bullish, the past 5 sessions have been bullish to neutral and the current bias is up.
WTI oil is trading between 94.08 and 92.14 today. The session bias is bearish and is currently trading down at 92.19.
Brent crude is trading between 108.99 and 106.85 today. The session bias is bearish and is currently trading down at 107.07.
Gold rose from 1599.89 earlier to 1615.35 and is currently trading up at 1612.36.
Dr. Copper is at 3.40 down from 3.51 earlier.
The US dollar is trading between 82.63 and 83.29 and is currently trading down at 83.11, the bias is currently bullish.
The 500 at the close.
The DOW at the close.
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Written by Gary