Ok, so remember the following "Market Wizards" dictum - when lots of traders are expecting something, and it doesn't happen, then go the other way. Maybe a straddle is a better way to make this play - if it crashes, you will bank; if it doesn't crash, then you want to be long.
in 87 market bounced back around 250 points the next day.... in 89 everybody remembered how awful 87 was and the fear was much more intense...
We're coming back nicely today as it is. Unless we get a lot of selling into the close I could argue that today might be a near term bottom. .. not that I am nibbling to test that out mind.
Hank I'm in agreement with you on this one I don't think it's a crash but certainly a signifigant sell off imo.
market hasn't gapped down hard on a Monday in a long long time imo seems like every Sunday futures open/Monday morning, we get a "nothing bad happened" over the weekend futures pop ot some degree...
Technically the list is huge ... to name a few of the most important. Break of the 200 ema Break of two major trendlines Expanding volatility Short term ema's acting as resistance Short price patterns everywhere (candle and formation) fundamentally the list is not as clear but still makes senses! CNBC calling a bottom ... LOL Earnings are dismal and guidance is poor Oil is still way to expensive (delayed effect) Housing starts and jobs stink and my number one fundamental reason is U.S. Consumer debt is way too high and we have rising rates this will be disastrous sooner or later if not contained I have other reasons too but I do not wish to share them in an open forum (no offence). btw, I'm not saying that it is going to happen I'm just saying it is highly possible in this enviroment I would take it one day at a time.