Wall street

[Guest Trups]

Why is the Wall Street rally continues? How long is it likely to go on for?

[Caseynotes]

The US Treasury Secretary Steven Mnuchin explains;

 

http://www.politico.com/story/2017/10/18/mnuchin-tax-bill-markets-tank-243890

 

[Caseynotes]

Tax reform closer, Indices up. S&P 500 chart.

 

https://www.cnbc.com/2017/10/19/senate-passes-a-budget-moving-the-gop-closer-to-tax-reform.html

 

 

[Vasilis]

Great contributions as always. Do we think a bearish decline towards 23000 is on the horizon with the interest rate decision from Bank of England looming next week?

[Guest Tonyever]

I am always confused as to the market sentiment indicator, does yours also show 76% of open positions are bearish or short on the market too? It’s a one way chart and been bearish with the ST continually suggesting upward movement but such huge short positions mean a great deal of losses are out there which surprises me?

[Guest Tonyever]

This is in respect of Wall Street but other indices show the same or more?

[Guest Tonyever]

I’m looking at the Wall Street Market Sentiment and it says 75% are short on this market and it’s been high for a while as on all indices so everyone is losing money on a graph the ST says is still going up, FTSE and others are even higher against the market, sceptical so does yours say the same?

[Caseynotes]

Hi  &    The market sentiment short/long figures are retail traders and are known as a contrary indicator for good reason. Many good reasons actually, not least hope over analysis (the punt) but also institution's attempts to wrong-foot retail and provide contracts to buy. 

For institutional positions you need to look at the COT report.

 

http://www.cotbase.com/

http://www.cotbase.com/how-to-use

 

Large speculators are long.

 

 

 

This video (strong language) explains much about the recent moves, a bit old now and may lose relevance as we move into a tapering phase (if we move into a tapering phase).

 

 

[Guest Captain]

I never look at sentiment.  What does it matter what everyone else thinks?