10k contracts in 1 second

welcome,

 

On Thursday last week we had a very interesting situation for the S&P500 futures. Someone decided to buy $1bn worth of S&P 500 futures (10k contracts) in 1 second (and $1.8 billion in that minute) chart 1.

 

chart 1. 10k contracts in 1 second, 2014-06-01

 

In addition to such a spectacular trade should also show the widening spread between the S&P500, USD/JPY and 10Y U.S. Govt Bonds. chart 2.

 

chart 2. spread between more important markets, 2014-06-01

 

No way to also show similar historical scenarios that took place and what happened after them. chart 3.

 

chart 3. dependence between the treasury market and SP500 Index, 2014-06-01

 

You should also analyze the volumen of the last 6 days. Chart 4. There you can noted also reverse the trend that we saw in the previous charts.

 

chart 4. falling volume, 2014-06-01

 

In conclusion all the factors mentioned above and with reference to the medium SP500 analysis presented in the previous entry. <fSP500 Index what really will happen, 2014-05-14> It is worth considering whether in the coming week SP500 Index is able to continue the trend from the previous week? Do we may be witnessing the end of wave B correction of the main trend and start the last wave C, which will consist of five waves of a lower order. I myself certainly such a scenario I will have in mind.

 

 

And finally, short news about future EBC decision according Barcalys

 

The most important economic development next week should be the ECB meeting. In this regard, Barclays Capital think the ECB will cut rates next week, while argues that investors expecting QE are likely to be disappointed.

 

"We do not think the ECB will launch a large-scale asset purchase program (ie, QE) at this juncture. Instead, we expect a cut in the refi rate, to 0.10%, and a cut in the deposit rate, to -0.10%," Barclays projects.

 

"These cuts could be accompanied by a targeted LTRO or a Funding for Lending Scheme (FLS) to address a credit crunch in stressed member states...Although Draghi noted that the ECB was ready for QE if inflation and/or expectations fell too far below projections, most of his speech was devoted to measures to alleviate credit concerns via targeted schemes," Barclays adds.

 

 

regards,

oscarjp

 

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