Hurray! The Disfunctional Market Gets Bad News to Catch a Bid
August 22, 2013 9:03 am
It is abundantly clear that there is a yearning for more stimulus. The news that the initial claims number came in slightly higher than expected helped to move futures up nicely. After a few days of brutal selling, it looks like the algos and HFT are back trying the long side – at least in the pre-market session.
Gold got a nice push on the news as well. Unfortunately, what is often the cases is a reversal of the initial move as traders will look to push against the move. Watch the opening minutes for clues….
If this is anything but a highly dysfunctional market that is all about the FED, please feel free to let me know. One day, maybe we can go back to go old fundamentals as a base for decision making.