Bunch of newbies in here! If you've been trading a long time and you've been a student of the markets, you would know that explosive 400-point one day rallies are normal in a bear market. Leading movers in the Dow were AXP, C and BAC -- if you want to buy those names and buy dead men walking be my guest -- fed liquidity news served as a great excuse to set off a big short-covering clustermuck like a Las Vegas Section 8 renter flipping on the kitchen light at 2 AM and seein' the roaches dive for cover.
What I like about IBD is the fact that it is interpretive of what the market is telling you - not forecasting. You may be a step or two behind but definitely - for the life of the market - a staunch edge (to trade macro-trends). I sleep easier because I know what the market is telling me. I don't try and guess. (I might live a bit longer). And yeah, when you go back to that previous record-setting date with a big point move - it was a bear market rally, so go figure. And yeah, if the Republican party can pull this off and have gains for the election year they will be quite happy. Not sure it can happen - or at least it might've had last March or even August if it'd been allowed to truly correct w/capitulation. In fact, just think where we'd be if the Fed said no, we don't react to the stock market and no, write-down your losses sooner than later and let (some) banks fail or consolidate and let the wonders of the "free market" do its magic. We might actually be near the end of the Bear Market and ready for another 3-4 year stretch like we've had since Mar 2003! I am so sick of all the band-aid treatment. By the time this happens again I will have some day-trading strategies under my belt to capitalize on but that's just part of the mold-and-adapt feature inherent into a successful trader. Well at least if I truly want to be one as I see it. pS
yeah back in 2000, there were plenty of days like this. false-hope rallies, i called them. people used them to dollar cost average down, much to their account's demise.
Mrs. ET here. Thought I'd throw my hat in the ring today. Since I shop for little Baron (super cute-just like his daddy) at Gymboree and its reporting increased earnings I'll start with it. Wish me luck. Also thinking of FRE.
please let it b known when that 6% shows up, in the meantime we are the ants at the picnic, we have so little info about what's really going on, the stocks above their 200/100/50/20 day moving avg are still less than 20% avg
Like a bunch of 4th graders... Anwyay, another huge rally today. Making lots of $$ with the stocks I bought yesterday. 2008 will be another great year because I know how stocks work and I know how the market works. There is no recession except an imaginary media generated one and no bear market.