CFTC Sunday Notes

quick and dirty

Housekeeping: No video discussion… Swamped with the UBS report. Find the GS most recent CTA report (covered last week) as well. Cheers

TL;DR

• Funds definitely sold calls to Banks

• more margin hikes may be coming

• somebody got hurt.. just like Dec 3rd.. maybe a bank

  • BiS bailed someone out then just like now.

• Producers bought puts smart funds sold calls, regular funds sold calls

• BEING LONG IS OK.. BUYING DIPS Below that wick IS NOT in my biased opinion.

Staying away from bullion except for really short dated option punting or meaty call spread selling against long miner position in rallies

Today’s analysis visually looks like:

The long wick day above shows shorts covered. and/or longs sold (ALMOST LOOKS LIKE A BANK BOUGHT FROM FUNDS BASED ON OPTIONS DATA) The selloff day showed relatively little net selling, implying someone bought this dip (the bank?)….The long wick below day showed long adding in dip and small funds selling the hole (OR THE BANK IS STILL BUYING?) . Then the last 3 days are perfectly normal and shows calmness in the market