qe2, page-29

hi gang

i'm back from holidays and starting to get up to speed.
i had a fantastic holiday, catching up with a couple of
posters which is always good for a traders soul.

i held a small short on the aj going into fed ann.
lost that and left it alone.

in discussing the ann. it is 600b + the proceeds of
rolled over debt. it gives them just over 100b per month.

the undiscussed part of the ann was the 35% level
that is now broken. the fed can now buy more than 35%
of any bond. they owned all they could and now they can
buy more. it was forcing them to buy bonds they didn't want.
it seems they want 2 to 5 year to drive down short term
interest rates.

for new traders, read through this thread and see how
posters planned their trades over ann. not all the
plans worked but didn't miss buy much. some made good coin.
that's how you have to take on big ann. with a plan.

anyway, i'm back.