Wednesday, June 3, 2009

3:30-4:00 Rally Time for the Market Magicians

Yet again, per usual, the market magicians engineer another run into the close. This seemingly daily action is probably starting to build on itself as whomever is doing it, is doing it, so traders are jumping on board this "trend" at the end of the day which amplifies the action into the close - just what the market magicians want I suppose. Plus, today we ripped commodities lower, dollar higher and limited equity damage with that last 15 minute jig. Well played. Funny thing is if we continuously sold off huge into the close (in the last 15 minutes) CNBC and the media army would be talking about hedge fund manipulation and the need for the SEC to investigate, limiting short selling, etc. But, since it is an up move - no reason to question the irregularity. CNBC is a puppet show (for the most part at least).

Who is this cloaked figure continually providing the late day bid?


  1. maybe if you took TARP you also took an oath to "help" the public markets

  2. It's not a conspiracy. All conspiracies fail on the reqm't that no one talks. Someone would talk if TARP trading desks were being ordered to pop.

    No, the correct answer is easier. There is no volume. One or two or maybe even three hedge funds in Greenwich, CT are moving $40 million into index futures in the final five minutes and selling in the final 30 seconds.

    This will work until GS or MS get annoyed at them, deduce algorithm, and lay in wait for them with $400 million in shorts in that same final 5 minutes. That will be the end of the hedge funds.

    The bad news is, this will also be a 30% move in the markets in 5 minutes. No one long will have time to react.


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