CPI tomorrow morning! I'm predicting double digit inflation numbers!

[nitrene]

I guess 8.5% CPI is good news. It doesn't make sense.

My guess is this is another fake rally. I shorted the open. So far it has done nothing but go down.

 

[Nine_Ender]

Who knew that commodities could rally in an inflationary environment in a recovering economy ? Ka ching Ka ching.

 

[SunTrader]

I guess 8.5% CPI is good news. It doesn't make sense.

My guess is this is another fake rally. I shorted the open. So far it has done nothing but go down.

So obviously you are not talking about the index futures. What then did you short? Equities?

 

[nitrene]

I shorted the NQ at about 14170 at 0845 CST. About 15 minutes after the open. I was down about 100 points at the high but now it is actually negative now. Went from 14277 to 14000 and falling.

I should add I've been negative on the NQ since April 1. That's when the 4 hour crossed below the 50-period SMA. That was around 14750. Then on April 4 Monday was another fake rally.

 

[nitrene]

I knew it was a fake because near the highs in the morning XLU, XLRE & XLP were all up 30-60 bps that means its just scared investors buying overpriced bond proxies so they can claim they are still long.

 

[SunTrader]

I shorted the NQ at about 14170 at 0845 CST. About 15 minutes after the open. I was down about 100 points at the high but now it is actually negative now.....

So you were down $5 large this morning?

 

[nitrene]

At one point, yes. I was also up like 500 points on my other NQ short from 2 weeks ago.

An interesting thing I noticed this morning was the VIX actually was higher at the open and then went down. Looks like a lot of people weren't convinced it was good news even at the open.

 

[murray t turtle]

Who knew that commodities could rally in an inflationary environment in a recovering economy ? Ka ching Ka ching.

%%
LOL
Good points\
except the gasoline sellers[ dealers, commercials ]never got your memo.
Hard to predict \even more so in an election year.
Most stuff including what yoiu noted /is still in a long term uptrend except bonds\LOL
I see your points Nitrene\ i would not call it a fake or rigged rally ; typical bear rally\SPY \spxl\UPRO\SSO is still below 200dma..................................................

 

[David's faith]

Man am I glad I didn't stick to my oppinion. LUL.
First day in daytrading (switching from swing trading).

 

[nitrene]

Just as I thought, another fake rally yesterday. I mean really why would you buy tech stocks with a 11.2% PPI print?