First UK rate cut

[tar]

I have a feeling that today BOE will cut the interest rate , maybe i am wrong . what u think guys and what will happen to the sterling in this case ?

 

[Lee Shepherd]

I think you need to do more research.

Concentrate on inflation and inflation made recessions then you'll have a clearer picture about the responsibilities of the Bank of England.

Either way, try not to have any open trades around this time...unless you love roller coasters.

 

[tar]

All what u said i knew b4 , it is only a gut feeling and maybe i am wrong , BOE will start to concentrate at the eco more than the inflation to be ahead of the curve . maybe i purchase some options trades on sterling b4 the news

 

[gooseman]

great risk/reward but you'll be chucking your money away....

 

[Lee Shepherd]

All what u said i knew b4 , it is only a gut feeling and maybe i am wrong , BOE will start to concentrate at the eco more than the inflation to be ahead of the curve. maybe i purchase some options trades on sterling b4 the news

LOL,

You sound so sure about what your doing. I'll leave you to your own devices.

Good luck mate.

 

[tar]

no not sure only gut feeling , pound could drop anyway today

 

[Lee Shepherd]

I find it always good to trade on a gut feeling, hang on, I have a gut feeling right now....My gut is telling me that you will eventaully blow your account trading this way.
Question is:

Is a gut feeling the correct way to go about trading?

 

[tar]

I find it always good to trade on a gut feeling, hang on, I have a gut feeling right now....My gut is telling me that you will eventaully blow your account trading this way.
Question is:

Is a gut feeling the correct way to go about trading?

my gut feeling is a good indicator i tried it b4 , anyway we will loose sometimes thats for sure .

 

[tar]

purchsed 1.7650 puts .... for fun only

 

[bbmac]

BOE/MPc rate decision due at 11am gmt, 25ish % of a rate cut but n/c at 5.00% expected. MPC has never cut/raised the rate by more than 0.25% in it's entitre history so any cut/rise above 0.25% would be a real surprise and set the £ crosses racing.


Was talking in another place this a.m; (just some views)

'...The consensus of the analysts on the rate decision today is that BOE will hold at 5%. But anybody here thinks there might be a surprise rate cut? Did King and Darling try to clue the market to that in their speeches in the last week or so? '

'...I wondered the same thing particularly darling's guardian interview , so out of character it seemed to have Brown's media monkey's fingerprints all over it trying to influence the MPC to cut '

'...It's very politically motivated. Brown is desperately trying to salvage his political life. Things have been going downhill even since he got in the office. That reflects very badly on him and he will do whatever it takes to get things back on the right course.'

 

[gooseman]

how much did they cost you? the puts? in premium....

 

[tar]

I use SB company IGINDEX @ 6.9

 

[tar]

We have today BOE , ECB , ADP and ISM non
i was thinking to make a straddle option trade ( up and down ) but .... forget i will stay on puts

 

[tar]

no change , will wait for the rest of figures

 

[gooseman]

you've not done well there.

out of interest when you trade with IG do they give you the greek profile of the option you're trading? do you know what the delta was based on the cable price when u traded?

 

[tar]

you've not done well there.

out of interest when you trade with IG do they give you the greek profile of the option you're trading? do you know what the delta was based on the cable price when u traded?

i took it 4 fun only thats what i said and i know that the option was priced b4 the news infact it gave me some profit b4 the news but i didnt close . They dont show the option profile but this is ok 4 me as a trader i can feel if it is cheap or expensive , better than binary options 4 me .

 

[gooseman]

do u know what tthe profile was from your own calculations?

 

[tar]

do u know what tthe profile was from your own calculations?

I am not a professional at options i admit so i dont know what was the option profile only i know it was expensive but i took anyway .Even i am not a professional , i can feel if the sterling option is cheap or expensive , in the sterling case today i admit it was a little expensive and i know this from watching the pound always , time to expiry , economic figures due to be released and gut feeling , i traded binaries and fixed odds betting for years and this gave me the sense of option prices , i know that binaries much diffrent from normal options . IGINDEX has released lately bungee bets !! , there is no new at these bets only wider spreads ( sometimes better spreads than normal call or put ) . these bungee bets divided into two types :
1- Buy bungee with a fixed floor = underlying price plus the call premium and the call barrier is the floor for the bungee .
2- Sell bungee with a fixed ceiling = underlying prices minus the put premium and the put barrier is the ceiling .

 

[gooseman]

out of interest what was the expiry?

 

[arabianights]

anyone else try to get U8 after the respective rate announcements coming in as expected? I managed to get 100 of Euribor, 2/3 of it at 15* but didn't get any sterlings :'(

*actually I think it might only have been me who got any at 15