ES Journal Archive (2006 - 2008)

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This dr cut is a big psychological lift for the market, but the discount rate is still a penalty rate. It has been cut from 6.25% to 5.75% Fed funds remains at 5.25%. Institutions are not going to be lined up at the window to borrow at 5.75%. But it does show that Bernanke is paying attention. The market will still demand a "real" (fed funds) rate cut.


They even termed this discount rate cut "temporary." I dont think they ever have done that.
 
I've seen some comments about how these intraday markets have been scalper's markets. I disagree. What I see are big runs each day that have the potential of being milked like a position trade. Keeping stops outside noise without using definitive profit targets has been the way to go.
 
Quote from polpolik:

Are you glad now you didn't take that gain? :)
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Yes, I am glad, although I would have gone long at the 1406 level too....

Now the question is: when to get out? I am not sure this cut will have a lasting effect, the money injection's effect lasted for 1 day....

Quote from Buy1Sell2:

Keeping stops outside noise without using definitive profit targets has been the way to go.
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Exactly....
 
Quote from Buy1Sell2:

I've seen some comments about how these intraday markets have been scalper's markets. I disagree. What I see are big runs each day that have the potential of being milked like a position trade. Keeping stops outside noise without using definitive profit targets has been the way to go.
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It would be helpful to understanding your line of thought and trading if you were to clearly state what positions and stops you have taken and what your PREMISE was. Generalities in trading are usually unhelpful in my view.

DMartin
 
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