With the CME announcement of the closing of the future pits (except for the SP) on 7/2 it’s pretty interesting around the floor. The locals who won’t have a pit to trade in are considering office space or desk space on the floor. Institutions are looking to move their desks to different locations. Some of the futures brokers have been offered jobs by option groups looking to add the broker’s expertise to their team.
I’m still viewing this historic event as a process and, while I’m keeping my eyes and ears open, it’s too early to really know how it’s all going to shake out. It’s almost like a trade in that respect: have an idea of what SHOULD happen but have 2 or 3 scenarios thought through in case you need them as the trade unfolds.
Well, the Infinity group (www.infinityfutures.com) closed their trading room…the “win-win-win” intention behind it wasn’t fully met. Attendees won because they learned more about trading and were privy to numerous trading opportunities. I can’t speak for Ray, Rollie, or Mike, but I won because I had the opportunity to work with many of the attendees in 1-on-1 education sessions or thru my service. But Infinity didn’t win because the extra knowledge and trades provided to the attendees didn’t offset the work required of Infinity to run the room.
I can’t say I ever gave that any thought, heck in my room I do a sound check at 7am CT and just start passing on the floor info, providing my take on early trades we can place etc….but as a brokerage firm Infinity had to assign someone to monitor, record, and archive the session – and all under the weighty demands of various compliance departments. I can see how taking people away from their “regular jobs” to do all that can weigh on a company.
As I often said when moderating their room, I considered it a trading pit – and this is akin to floor brokers leaving the business back in the early 2000’s as the risk they were taking to fill customer orders was no longer “worth it” because more and more trade was being done electronically.
If the pit – the Infinity Trading Room – re-opens, take this to heart.
The other trading room I poke my nose in is MrTopStep’s (www.mrtopstep.com) and it continues to be an enigma to me. Danny Riley will go thru a brick wall for his attendees, and Twitter followers – and the room continues to provide a steady stream of trade ideas, and market information. But I notice that while some attendees have no problem trading 3 or 4 markets- they won’t take a serious look at the bond market.
I’ve been providing some 5YR note insights to them a couple of times a week; I’ve made some videos and asked them when they want me to provide some audio to their trading room – and neither Bob at MTS or I hear anything back. It’s hard to give up tho; Danny’s drive is kinda infectious and I consider both he and Bob friends. So all I can do is keep trying.
Well, at 7:35 CT Friday (the green box on the bond chart above) we were bearish…and subscribers to my newsletter (posted Thursday afternoon) read “a bearish reaction [to the jobs #] has only 157.20 (the lower green line) to deal with as below there are 155.02 (the bottom dashed-blue line) and 154.26 targets”. The letter also pointed out trade would be weak below 155.20 (the upper dashed-blue line).
And yes, BrozOnBonds covers the SPs: subscribers read on that same letter: “Although 2061.75 is GOOD support, I feel once the bears have taken out 2080.50, a move to at least 2042 is in play.” On the SP chart below, the green box shows the jobs # and the drop to 2080.50 (the lower green line). Note that faders (the low was 2080.25) got a 2-handle bounce (the green arrow) but more importantly (the blue arrow) points to the fill pointed out in the letter (that high is 2080.75). While trade didn’t even to get to the next support (2061.75), as we say in my room, “there was money in the trade”.
If you’re tired of watching indicators clutter your charts and give you poor signals…if you’re tired of working so hard to find trades….or if you simply want to add solid info to your own trading plan – contact me. There’s a way to involve my work in your trading – let’s make it work before you miss out.