Monday, April 13, 2009

SPY Vol At Half Of Average

The daily volume on the SPY to this point is at 162 million shares, half the daily average of 333 million shares traded. The market continues to move on diminishingly marginal trades.

Chart compliments of Sphere: Related Content
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John said...

here's an interesting oil snippet:
"The net result of the April Oil Market Report is a projection of a balanced market for the rest of 2009 if OPEC maintains existing output - in contrast to March's warning of a stark drop in supplies by the end of the year. If that turns out to be the case, there would be no significant stock draw, and the net result would be exceptionally bearish," said Lawrence Eagles, head of commodity
research at J.P. Morgan, in a note to clients.

Lets not forget about the carry trades that were going on when oil was at 35 dollars either. Lotta tankers out there with stocks.

Perhaps drop off in oil you mentioned earlier will come to light soon.

Anonymous said...

most of Europe is on holiday bro..

Anonymous said...

what happened to the black swan fiasco you were predicting for today? that post made no sense no matter how many times i read it

Anonymous said...

Citigroup Leads U.S. Bank Stocks Higher Before Earnings Reports

CNBC calling for Q2 '09 (that's like starting now) positive GDP

even Faber is calling for SPX 1000

doesn't anybody remember the Lottery Uprising in Albania and the massive pyramid scheme that brought down their economy.

The post on SPY volume seems to dovetail nicely with the earlier posts on the quants.

Anonymous said...

@ 3:53 PM

I'm sure your predictions are 100% accurate.

It's hard to make public calls my friend but easy to criticize.

Maybe you can ask TD for a special section on this site to include your predictions.

Anonymous said...

Some bears at CLSA like Russell Napier are calling for spx to run to 1200, and then a fall to 600.

Anonymous said...

"A gain of 9% in the SPY is triple the small increase of 3% in VWAP"

I hope you took advantage of the opportunity handed to you at 860.

Anonymous said...

@ Anonymous 3:53 PM

in 2008 there was a 22% volume decline the day after Easter based on the 50 day ma

Anonymous said...

these vwap lookbacks need to be compared to comparable price time frames. So, if you are looking at 1 week vwap, you should be looking at a 1 week ma. As you stretch out the duration of the vwap lookback, its going to look extremely similar to a ma for that period of time. If the price action is violently up, then of course the vwap is going to lag because it is averaging prices from days ago at lower prices in. The question is how it looks compared to the mas

Anonymous said...

"take some comprehension lessons"

perhaps some of us anonymice might also want to take some lessons in eloquence as well.

(hint: tyler's giving him away for free)

Anonymous said...

What's with this VWAP fetish.

Is there something abnormal going on or are you just talking about something you don't understand?

VWAP is always going to lag during a trend, up or down.

I think folks are just hanging their hat on something that means nothing here.

Anonymous said...

I wish there was a ZeroHedge for dummies section. I have no idea what any of this mean.


Anonymous said...

Hey fellow Anonymous least ZH ALLOWS and DOES NOT CENSOR your posts...Go over to "Carpe Diem" and try to dissent, see what happens. ZH is spot on...knows what he's talking about, too much sheeaat behind closed doors.

Castor said...

VWAP Volume weighted average

What does this article mean: Volume is tailing off and most of the buying was done a lower prices, that is early in the rally. The rally on running on fumes is what that means

msorense said...

I've lost my shirt trying to get to the bottom of FAZ and SRS. According to the recent related post, SRS would soar past 250 if D-Day were to occur. How is that possible? If the underlying index were to go to zero in a day (very unlikely), SRS would increase from its current value (around $30) 200% or end up around $90.


chrispycrunch said...

It is, in theory, a no brainer that low volume on strong rally will result in a correction back to the lows. However, the outstanding variable remains the banks "fantastic" earnings and the government's "fantastic" moves to crush the bank illiquid market.

That said, I don't see markets correcting. I do see that poor economic news, especially in unemployment and in housing, will lead the markets lower. It's a necessary requirement.