I just read this blog and summerize my understandings. http://market-ticker.denninger.net/

Here is one of the ways to predict the future.

You have read something like “Fed injected XX billion into the market , blah blah”. The slosh report shows how much Fed temporary short term loan known as TOMO(Temporary Open Market Operations) is in the market. The amount Fed accepted is interpreted as the amount fed injected into the market.

The pink colored bars indicates the daily Fed accepted /Granted loan amount.

But thing is that this loan must be returned someday. (Shown as Grey Bars in the graph)And I can think that the day when this return amount is high, the banks will have to sell their equities therfore the market will be downward based on the assumtion that the large portion of the slosh is currently in the equity market.

Then according to the below graph, it is most likely that the stock market be down tomorrow. But still Maybe I am wrong, but I can’t wait to see the end of the tomorrow.

Slosh Report
Slosh Report help

Slosh Report Data Source (http://www.newyorkfed.org/markets/omo/dmm/temp.cfm)