not yet I dont think, we need more than 1000 points in a week to be considered capitulation. I was think 1000+ in a single day, dont know if its going to happen anytime soon, but I think we could see a small bounce very soon. Watch 10k carefully, we break through 10k and it could be a free fall, my short term target on the DOW is 9800-10k, long term 8500 over the next 2-3 months. New highs: years away.
Agree. We need a massive gap down and probably need to go limit down on the futures. Could happen tomorrow.
vix at 36 (20% spike today) in jan march july lows it was at 32-33, the market is in extreme panic mode, EXTREME volatility is being priced in, Gold goes up 70$ in one day when the dollar barely moved, the market is irrational right now. Vix may spike to 40 but that would be the ultimate signal to load up, i have bought some stuff today as well. SEC may put in new rules, because the problem now is ppl have figured out the common share holder always gets screwed and goes to 0 as is the case with the last 3 finical firms, therefore they short the other ones at will expecting the same. Along anything and absolutely everything related to insurance today selling off aswell this is hilarious. take a look at a chart of the vix over last 20 years and you will clearly see where the bottoms occurred you will also note that it was never like "ok we have reached a bottom it is all up from here" the bottom was a process as seen on the vix chart by multiple spikes to extreme levels 30+, once selling is done short term (it may end tmrw or in a 1-2 days) it will be followed by a rally how high? i don't know but my guess 1250-1300 followed by another shoe drop and that may occur several times before this "credit crisis" is over.
When CME halts trading of ES the roller coaster ride is over... 100 point drop at least... Watch the Margin Call volume between 3:30 and 4:30 today.