US markets in the coming weeks

[Naz]

Emotions are running high and emotions and news move markets.There is nothing worse than the considered trader having his well thought out plan ruined by some breaking news that occured out of the blue.This is what could happen in the coming weeks.

As short term trading and day trading are extremely cheap in the US.It maybe that more players opt to play the market day by day and hold no overnight positions.This could mean that intraday moves could become exaggerated as more liquidity joins the market.

The major move for direction in the US comes between 9.30-11.30 EST (2.30pm-4.30pm GMT) This very often can become the high or low of the day just at the same time as the UK markets are leading into their close.

From 11.30-2.00 EST we have the lunchtime doldrums.Then trading starts again in earnest from 2.00pm EST.New trends often start at this time.From 3.30pm EST players start thinking about their overnight positions and quite often a mini trend occurs at this time into the close.This last trend leading into the close maybe much more extreme as more people decide to get into cash overnight.

The point to think about for UK traders is that the US markets may make an exaggerated intraday move leading into the UK close.This may not be a true reflection on a new direction in the market but players moving in to play the market intraday.The US markets could then change direction as mentioned above.IF some bad news comes out overnight the UK trader maybe met the following morning by not only the US markets moving against his position but bad world news making the whole thing twice as bad.

 

[Naz]

On Monday 17th Sep,the re opening of the US markets could be a very difficult time for UK players.With the UK market shutting at 4.30pm,we always miss out on the direction of the US market that carries on for another 4 1/2 hours.

In these uncertain times in the coming weeks i'm glad i'm a Nasdaq day trader.able to take quick decisions,with excellent trading software,minimal costs,on a leading world market and be in cash every night.

Personally i cant understand why more UK players don't think about opening a second account to trade the US,even if they just start by trading index tracker stocks like QQQ (Nasdaq 100 index) DIA (Dow Jones index).

 

[Naz]

For Uk traders interest i have down loaded a Nasdaq level 2 screen in the US Trading section of the web site under the heading "Nasdaq level 2 direct access trading"
So you can see how much more information we have at our finger tips when we trade.

 

[Naz]

Last night (thurs 27th Sep)was a classic case of the feature in this thread.Big trends can start as soon as the boys come back from lunch thats 2pmEST or 7pm GMT.

If you're serious about trading the markets you have to be serious about understanding the US.Check out some of the articles in the US section of this web site.They might help you think about making some money in the evenings when the large trends start happening at 7pm GMT,when you've just had your tea or just come in from work!

10% from Verisign last night when the trend started and we were rocking!

 

[aaa2004]

Hi Naz ....But you donot answer the question ,US markets in the coming weeks?

any one know what will happen next week?interest rate effect?

thanks

 

[dsmodi]

aaa2004: Just incase it was missed, Naz wrote the above almost 3 yrs ago ... The WHOLE WORLD is totally different now, but of course that doesn't mean the stock market is different....

 

[Trader333]

aaa2004,

You may as well ask how long a piece of string is. No-one knows what the effect of interest rates will have on the markets but whatever it is we will trade based on what we see the reaction to be.


Paul

 

[Dow Dog]

Paul is absolutely correct. Trading is not about predicting the market but playing the probabilities game.

However, if you want a good analysis of the market I would suggest you write to Charlie Miller at CEMCEMCEM@ aol.com and ask to be put on his mailing list.

He is not a fortune teller but I do find his market analysis both interesting and entertaining.

 

[FloorTrader]

true, except the FTSE if up for over a week now....

 

[Bouds]

Hi Naz

Thanks for sharing your insights

 

[roguetrader]

TASR may be one to watch tomorrow, heavily shorted and breaking recent swing highs. A short squeeze could be somethingto behold in that one.

 

[nytetrader]

Well, the US markets are looking pretty good now. The prices don't look like they'll be too low for long. I'd say it looks pretty solid for at least 6 months.

 

[archimg]

Well, the US markets are looking pretty good now. The prices don't look like they'll be too low for long. I'd say it looks pretty solid for at least 6 months.

Don't be so sure. Economy looks more or less well, but a single successful suicide bomber in US can cool down your optimism.DJ would go quickly below 10liters.

 

[nytetrader]

Maybe, but I'm not going to hold my breath for another terror attack. Another attack won't have the same kind of shock value that 9-11 did, anyway.

 

[archimg]

nytrader: I agree, ;-). I wanted to add a little bit of randomness.

Coming back to topic: US market looks good for next few months. One can get min. 25%/month pay off by more or less randomly buying nasdaq/nyse stocks. I tried INTC(recently went down), NT,LU,GNTA(this week collapsed,because injection against cancer has not desired effect) and so on. However, the slovak koruna (Sk) performed from 55Sk/$ (few years ago) to 29.8Sk/$ this week and similarly for EUR, so golden age comes to end.

Last remark:
If Bush administration improves taxation system, I expect, the economy should run even better.

 

[maxpain]

MSFT pumps $30Billion out tomorrow into the marketplace. Ought to have an impact coming days/weeks!

 

[johtensweden]

Ohh. Maybe Anoto?

 

[archimg]

nytrader: I agree, ;-). I wanted to add a little bit of randomness.

Coming back to topic: US market looks good for next few months. One can get min. 25%/month pay off by more or less randomly buying nasdaq/nyse stocks. I tried INTC(recently went down), NT,LU,GNTA(this week collapsed,because injection against cancer has not desired effect) and so on. However, the slovak koruna (Sk) performed from 55Sk/$ (few years ago) to 29.8Sk/$ this week and similarly for EUR, so golden age comes to end.

Last remark:
If Bush administration improves taxation system, I expect, the economy should run even better.

I just mentioned GNTAidea and today stock changed by 70%, :-0 ,a quite good newbie start, no?

 

[archimg]

Msft

It is quite difficult to earn some money from MSFT due to big investors which move the market acording to their consideration. (I preferLinux to Micro$hit.)

Small investors, me, should find non-leading good liquidity stock.