Shorts Near In Euro/S-franc
| PREVIOUS POSITIONS | ||||
|---|---|---|---|---|
| Market |
Long/Short |
Enter | size=2 color=000000>Exit | size=2 color=000000>P/L (per contract) |
| Sep. 99 T- bonds | Short | 115-23 | 115-06 | $531.25 |
| Sep. 99 S&Ps | Short | 1412 | 1403 | $2250 |
| Sep. 99 Swiss franc | Long | .6380 | .6390 | $125 |
CURRENT POSITIONS (AS OF 7/19/99) |
|||||
|---|---|---|---|---|---|
| Market | Date | Long/Short | Enter | Stop | size=2 color=000000>Target |
| Sep. 99 T-bonds | 7/19/99 | Short | 117-05 | 118-05 | – |
| Sep. 99 S&Ps | 7/16/99 | Short | 1429 | – | 1412 |
| Sep. 99 Swiss franc | – | Flat | – | – | – |
Note: All price levels are approximate.
T-bond futures
The September futures [USU9>USU9] were little changed today with no news out today. Greenspan will testify on Thursday before the House Banking Committee. Summer vacation season has also began, which will lower volume over the next couple of weeks.
We established a short position today at the 117 05/32 area with stops at the 118 05/32 area. The probability of a short-term pullback before Thursday’s testimony merits a position here as bond bulls will pull back before the testimony begins. Stay tuned for profit target.
 |
| Figure 1. September T-bond futures (USU9), 15-minute bar. Source: Quote.com.
|
S&P 500 futures
The September contract [SPU9>SPU9] was down today as investors used the good earnings news from IBM and other big companies as a reason to sell. Volume was still relatively light and we will try to cover our position at the 1413 – 1412 area. Volatility is still low, which could lead to a further sell-off; however, the market should stay in this range as Greenspan gets ready to testify.
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| Figure 2. September S&P futures (SPU9), 15-minute bar. Source: Quote.com.
|
Currency futures
The September Swiss franc [SFU9>SFU9] and Euro [ECU9>ECU9] were up today as traders covered their short positions with buy stops. The buying spread from the dollar-yen rate, which had a big move today as well. There is German economic data out tomorrow on business sentiment. This will be closely watched as the German economy is the biggest in Euroland. We will look for a shorting opportunity in the near future.
Next scheduled update: Wednesday, July 21, 1999
(Check “Today’s Schedule” every day on our home page to find out about additional updates.)