l*********m
发帖数: 16971 | 1 This market has now become so crazy, that Jim Cramer can now equally divide
each day into three distinct trading sessions. At this point, every session
isn't just one session. It's three!
"Every day feels like not one session, but three sessions and that's adding
to the pervasive sense of confusion," the "Mad Money" host said.
The first session occurs at the opening bell, and is driven from the data
and stock market action in China and Europe. The futures now completely
control the morning session, and Cramer has seen the same pattern over and
over again.
Bad news will come out of China, and then the Chinese stock market will tank
, and then its stocks will be either halted or propped up by the Chinese
government to try and assure investors that there is more order to the chaos.
And of course when the Chinese market is down, Europe will also trade down.
The two continents are somewhat linked, because 25 percent of China's
exports go to Europe. And while the U.S. and China don't do a lot of
business, Cramer has seen that the U.S. market goes down harder than Europe
because of investor's newfound negative bias.
The second session takes place at approximately 11:30 a.m. ET every day and
is entirely dictated by sellers. Cramer called this the "margin session"
because it is driven by speculative traders who have borrowed money from
their brokerage firms on margin.
On a hideous trading day, the value of collateral held in these investor's
accounts will drop significantly, prompting margin clerks to send out margin
calls. If the investors do not wire in more money, then securities must be
sold to raise the money.
That margin selling can last until 2 p.m. and flood the market if there are
a lot of margin calls. And with an abundance of margin calls, the third
session called the "ETF-dominated session" is created.
The final ETF session kicks in at approximately 2:45 p.m. ET each afternoon
when exchange traded funds have to settle up. When someone buys an ETF that
bets heavily against stocks, it settles up by knocking down the stocks. The
same thing occurs with a bullish ETF, as they use leverage to magnify their
influence.
"Typically you don't see them play such an outsized role, but this is not a
typical market," Cramer said.
Generally corporate buybacks will cushion the blow to ETF selling, but
buybacks are halted at 3:30 p.m. ET every day so the company cannot control
the price of its stock at the close. However, right now the market is so
thin that these ETFs are now determining the close.
As a result, traders now spend the afternoon trying to figure out how the
ETFs will settle up so they can determine the direction that the market will
close.
"Ugliness can breed further ugliness," Cramer said. (Tweet This)
So with three sessions of trading each day, what do these sessions have in
common?
None of these sessions has anything to do with individual stocks or the
underlying fundamentals of a company. For now, the old fashioned methods of
trading have been thrown out the window. Instead, it has created a new world
of futures, margin and ETF dominance. | g*******e
发帖数: 3013 | 2 Lol
Very insightful
And very true.
难怪大家晕
这以后都得3个session炒股的人得累死
呵呵
[在 lovefreedom (爱自由) 的大作中提到：]
：This market has now become so crazy, that Jim Cramer can now equally
divide each day into three distinct trading sessions. At this point, every
session isn't just one session. It's three!
：
：........... | G**Y
发帖数: 33224 | 3 谢大师，
涨姿势
divide
session
adding
tank
【在 l*********m 的大作中提到】
: This market has now become so crazy, that Jim Cramer can now equally divide
: each day into three distinct trading sessions. At this point, every session
: isn't just one session. It's three!
: "Every day feels like not one session, but three sessions and that's adding
: to the pervasive sense of confusion," the "Mad Money" host said.
: The first session occurs at the opening bell, and is driven from the data
: and stock market action in China and Europe. The futures now completely
: control the morning session, and Cramer has seen the same pattern over and
: over again.
: Bad news will come out of China, and then the Chinese stock market will tank
| T*R
发帖数: 36302 | | f*********9
发帖数: 1986 | 5 未来几天里总算可以清静一下了，第一个session可以忽略了，中国放假，看看MM还有
什么借口炒作。 |
|
