Interpreting trader talk

Financial Events, Futures trading, Oil markets

Traders.pngCurrent financial and chemical market volatility is a bonanza for good traders, as it gives them more opportunity to take positions, up or down.

However, having traded on behalf of a chemical major in Houston, Texas, the blog knows from personal experience that not all traders get all their positions right, all of the time.

It therefore thought it might be helpful to provide some definitions of trader-speak, heard recently, to help clients interpret their comments:

The outlook seems pretty clear to me” = I’ve taken a long position, but I’m having second thoughts about it. What do you think?

It’s true that the market is not in good shape. But it’s not all bad either” = I’ve got a long position, and I can’t find any way of offloading it.

Its slightly worse than we anticipated, but its consistent with leading indicators” = I’ve got a short position which is in the money, but this might be the time to sell.

Not every product is heading south” = I’ve got a short position, and I’m hanging on to it till things really fall apart.

Nobody could have forecast these developments” = My boss is thinking of firing me, and hiring someone who knows what they’re doing.

More examples will, of course, be very welcome.


The Drawn-Out Downtrend phase of the Crisis begins


“Humankind cannot bear very much reality” TS Eliot, 4 Quartets, 1936...

Learn more

US 3 year interest rates back to 1940's levels


High quality 3 year government bond yields are now less than 1%, as shown in the...

Learn more
More posts
Will stock markets see a Minsky Moment in 2020?

Few investors now remember the days when price discovery was thought to be the key role of stock mar...

Chart of the Decade – the Fed’s support for the S&P 500 will end with a debt crisis

Each year, there has been only one possible candidate for Chart of the Year.  Last year it was the ...

Oil markets hold their ‘flag shape’ for the moment, as recession risks mount

Oil markets can’t quite make up their mind as to what they want to do, as the chart confirms. ...

$50bn hole appears in New York financial markets – Fed is “looking into it”

Most people would quickly notice if $50 went missing from their purse or wallet. They would certainl...

China’s renminbi and the global ring of fire

China’s property bubble puts it at the epicentre of the ring of fire © Reuters  China’s de...

Oil market weakness suggests recession now more likely than Middle East war

Oil markets remain poised between fear of recession and fear of a US attack on Iran. But gradually i...

Recession risk rises as Iran tensions and US-China trade war build

Oil markets are once again uneasily balanced between two completely different outcomes – and o...

Déjà vu all over again for oil markets as recession risks rise

Back in 2015, veteran Saudi Oil Minister Ali  Naimi was very clear about Saudi’s need to adop...


Market Intelligence

ICIS provides market intelligence that help businesses in the energy, petrochemical and fertilizer industries.

Learn more


Across the globe, ICIS consultants provide detailed analysis and forecasting for the petrochemical, energy and fertilizer markets.

Learn more

Specialist Services

Find out more about how our specialist consulting services, events, conferences and training courses can help your teams.

Learn more

ICIS Insight

From our news service to our thought-leadership content, ICIS experts bring you the latest news and insight, when you need it.

Learn more