vsa with Malcolm

Heya


just looked at DJIA , and man .. this looks like a nearly textbook example of wyckoffs disrtibution shematics... .. the great depression is yet to come ??? and SM knows that !!!! .. so they distribute.... hmmm ???

well , i do think that the synthetic bubble of the recession is over .. blabla bla
will burst anytime soon .. but thats another story ...


but lets stop with that conspiracy and bad story telling ... and just look at the chart .. with the quote .. from the wyckoff shematics of distribution.. interesting isnt it ??

except for the automatic reaction .. wich happened in may wich was caused .. by a computer /software error ... lol automatic reaction .. coincidence ... or was it ?? .. *smile*

so are we in phase B of wyckoff distribution phase ???

Phase A
In Phase A, demand has been dominant and the first significant evidence of demand becoming exhausted comes at point 1 at Preliminary Supply (PSY) and at point 2 at the Buying Climax (BC). (See the chart above.) It often occurs on wide spread and climatic volume. This is usually followed by an Automatic Reaction (AR) and then a Secondary Test (ST) of the BC, usually on diminished volume. This is essentially the inverse of Phase A in accumulation. As with accumulation, Phase A in distribution may also end without climactic action and the only evidence of exhaustion of demand is
diminishing spread and volume. Where Redistribution is concerned (a TR within a larger continuing downmove), we will see the stopping of a downmove with or without climactic action in Phase A. However, in the remainder of the TR the guiding principles and analysis within Phases B through E will be the same as within a TR of a Distribution market top.

Phase B
The points to be made here about Phase B are the same as those made for Phase B within Accumulation, except clues may begin to surface here of the supply/demand balance moving toward supply instead of demand.

http://tradertony.com/tag/wyckoff-shematics/


cheerze all

getting too dangerous for me. rather be safe than sorry. 0 pips on the first 10 pips on the second. still lost 20 pips today but my weekly bread and butter was done yesterday, even with this small loss.

now watching from the sidelines.

enjoy!

gu nu supply bars under us on 15 min

...exciting stuff lol

600bn purchase

who and what purchased ?
Thanks

b,
T

its open ended... unlimited

600 billion. instead of the 1 trilion rumor. what is already price in? 300 billion? that means UDS will go down further?

that was stupid . I totally forgot i had a sell eu at 4150... till my email went of alerting me I had an order filled

thankfully just closed it up

600 billiuon buitl into market ... gonna see how this settles down but only 600 billion could give usd some strength

feds admitted us economy is shit .. dj could tank ?

500 billion... but # of months wasn't specified its open ended... so basically can print all they want until end of usa

suddenly it hits 6160s from 6090s... waw.... it is better to take a seat and watch... it is not my cup of tea...

FED: Assets purchased will have average duration of 5 to 6 years.
$EURUSD: Spikes higher on Fed announcement as $600 billion surpasses estimates, but has quickly retraced

That's from dailyfx if anyone cares.

Reaction looks like it'll be up, down, up and ending neutral.

I do not give a damn

gu up move got hit hard on a 10 min entred and out for 50

Despite growing market consensus predicting benign benefits and potential grave costs associated with a second round of quantitative easing (QE2), members of the Federal Open Market Committee (FOMC) decided today by a 10 -1 majority to purchase $600bln in longer-term Treasury securities by the end of Q2 of 2011 (amounting to roughly $75bln/month) in efforts to ‘promote a stronger pace of economic recovery and help to ensure that inflation...is at levels consistent with its mandate.’
Attempting to fulfill its dual mandate of maximum employment and price stability, these purchases represent the Fed’s efforts to revive a flaccid recovery and provide relief for the 14.8mln unemployed, as the Administration’s hands are currently compromised (a second fiscal stimulus is out of the question).
It is calculated that the $1.75trln worth of purchases from QE1 (commencing in December of 2008), generated $1trln worth of excess reserves in the banking system. Given that these funds have yet to extensively spur the economy in the way the frustrated jobless wanted it to – namely consumer spending and business investments (preferably in the form of human capital) — a second, incremental, smaller-scaled purchase is subject to skepticism that it would actually help to lower the unemployment rate loitering at 9.6% and may even sacrifice the Fed’s credibility should this loosely defined program raise inflation in the long-run.
In addition to the new purchases, the Committee will maintain its existing policy of reinvesting principle payments from its securities holdings.
The FOMC also decided to keep the target range for the federal funds rate between 0.0% and 0.25%, citing economic conditions as "likely to warrant exceptionally low levels of the federal funds rate for an extended period." This expectation has been included in the statement for over a year. For the seventh consecutive meeting (every meeting for 2010) Kansas City Fed President Thomas Hoenig voted against the policy, believing that the costs of QE2 outweighed the benefits and that continued high level of monetary accommodation increased the risk of future financial imbalances.

Wow - got out of my longs at 1.4150 .... looks like strength must have gotten sold into? printing bars that might leave us where we started ... they really strategized, didn't they ... $600B is a tad more than $500B IMO, and that would mean it's priced in, hence 1.37x euro here we come?

Bloomie's talking head on the NYSE floor says: We bought the rumour, & are selling the news - too little & it's priced in - its not new money Ben.

That true..
They can print till the end of usa.

As i understand, if they have much more money - the money will be cheaper.

USD will be cheaper and prices could rise. Oil can rise..

However, when prices rise - many thinks that economy is going up, however, forgeting that economy is going up with cheap printed money.

I don't see why USD should be strong, when someone just prints more money

However, i don't trade fundamentals.. just chart. So, i am thinking loud

Best,
Tom

is that a buying climax on eu/usd?

Kinda looking like USDJPY is getting bought here? (need another bar or two, plus we're getting into low liquidity time - don't like that) So EU, GU down and 82 on USDJPY to be tested?

watch gu on 15 for sells ... buyers just ran out of steam

600 billion and length on low end of things if 1 trillion built in gu and eu move down form here

A lot more news this week though! Will be fun to watch

Didn't move USDJPY much...