Getting warm now - reminds me of March/AprilYes MLS gained 1 pip...

Getting warm now - reminds me of March/April

Yes MLS gained 1 pip to finish on 5.8c. Our volume was good, just under 11m shares traded. Still looking to break the 5.8 to go to 7s, but happy with trading today, we had a good rise yesterday, good to not only keep the gains but inch forward as well. Its matter of time I feel we will be in 7s.

ASX Li stocks were also in joyous mood. Of the 43 stocks that I track, average gain was around 4%.

Overnight US Li stocks were also dancing. The ETF of LIT gained around 3% and other stocks between 3 to 7%. So ASX and US Li stocks went in tandem.

What next -

So we had a rate rise of 0.75%. That was expected. I had said yesterday that only thing that may change the situation is what the Fed says. And they were in a good mood. Finance is an orderly fashion and some other sweet talk. After being bashed for so long, punters latched into it and went into a buying spree. US indices went flying and carried most stocks with it.

ASX started in positive manner but was still tentative in morning. As the day progressed, stocks got stronger. Most stocks finished strongly. The trading today remined me of the hey days of March/April, when you could trade without fear. Even if stocks declined, there was always a feeling that they will come back - so no despair. Our winter months has been very devastating for trading, its good to get the warm feeling again.

Personally it was a mixed bag, bought heavily in the morning but sold more than half into the rally. Still hold a lot. Plus all my long stocks which I don't trade made some good gains today.
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So why did I day trade lot of my trading stocks today? Just a punt. Last 4 rate rises in US, every day on the day the rate rise has been announced, SP 500 gained over 1.5% times each of the instance. Remarkable stats. In earlier rate rises the gains continued next day. But last few instances, after a big rise on the day, there was a decent fall next day. Yesterday I had written - "My gut feel - initial reaction will be good and then sinking of the situation. So good tomorrow/bad Friday". The first part has come good. It may drop a little tomorrow, but I would be happy for the rally to continue, I still hold a lot of stocks.

So what will happen tonight? US Futures are very slight in red - so no cue there. Asian markets were generally green with some red as well. But most did not buy US euphoria - although there were gains, it was subdues, average less than half percent. Cryptos enjoyed the Fed comments and have jumped over 10% in last day. Bitcoin above 23k now - looking good. The volatility index VIX is back to 23+, so good for bulls. ASX punters are in a really good mood. At this stage its not predictable what will US do tonight. Probability wise is for a red, hopefully small. But its the beginning of euphoria, we have just begun, lets hope our US mates go for another big green tonight. All the best.