One “Data-Dependent” Trader Is “Looking At The Bounce In Gold As Sentiment Indicator”
by Tyler Durden
ZeroHedge.com
Jun 23, 2017
As US (and global) economic data has disappointed at a rate not seen since Bernanke unleashed Operation Twist and QE3, so traders are shrugging off declining earnings expectations and weak macro data in favor of the continued belief that The Fed (or ECB or BoJ or BoE or PBOC or SNB) has their back. So, as former fund manager Richard Breslow notes below, it appears the ‘data’ that everyone is ‘dependent’ upon is very much in the eye of the beholder…
Via Bloomberg,
We’re all data-dependent. It’s not just the central banks that hide behind that aphorism. Traders and investors operate that way too. It’s just that data is a very poorly defined word and concept. The dictionary speaks of facts and specifics. But in reality it includes, biases, positions and a whole lot of other subjective factors. You and I can, quite properly, look at the same data and react differently.
So while it’s a universally held concept that is proudly used to denote dispassionate rationality, it’s in fact a meaningless one.
The Rest…HERE
