Wednesday, September 17, 2008
At the bottom of the hour
Its 10:24 PST. Traders are getting back from lunch. We have turned from a net negative -15K to +13K in the big contracts. I am concerned a little bit about the market structure. After the C period extension, we havent traded into IB and we are forming a distribution in the bottom, indicating that the auction has brought more timeframes in play. The AIG bailout did not have much play today, at least not much that is visible. Lots of trading oppurtunities and nice fluid moves. The range extension to the downside has been consolidating with some buying interest in the 60s till now.
A day like this, a change of trading style is needed imo. Using shorter time frames in the extremes and looking for conviction in the direction of the moves.