LOL...I was short at the perfect time, had a huge lead only to hold on and be forced to reverse. I caught the nice rally back up, but being short isn't as easy as you "make it sound". I will short again. However, we have to make lower lows of the year before I even think about shorting. This is a knee jerk reaction to "news" that the all of wallstreet knows already. Volatility is in and we will have swings in both directions.
Lots of complacency on this thread. I wonder how many of you are fully aware of the extent that the limited trading that is going on in parts of the credit market is going to force a revaluation of stuff that is on the books of many big banks. There will be a new round of large write downs in the next two weeks. Anyone see that UBS came out with a new estimate on writedowns, this is a lot higher than what people have been talking about http://www.bloomberg.com/apps/news?pid=20601087&sid=aQFTerb4XMU8&refer=home Will this have any effect on equities? I can't see how it won't unless the $ crashes to $1.6 in the same time period, but anything can and will happen. So, while I am all for discipline and money management, anyone who blows off the potential for a significant move down here because they think it is all priced in does so at their own risk.
I wonder what's more complacent. Panicking ("Stop trading, go all in short, no stops needed") over headlines produced by journalists that have never made a single dollar in the markets or forgetting about Bloomberg and CNBC for just a second and just trading long and short like any other day of the year with proper money management?
Quick how about some AMBAC news! WSJ is reporting MBIA may receive funding as soon as Monday wink wink
QQQQ looks like it's about to complete the second half of a measured move down to 35 (not by 4.30 today though, may take a few weeks).
As somone pointed out on SPY board by 3.30 Fed will have cut 300BP and CNBC will run a story that God has hinted he will inject USD 20B each into C, the monolines AIG, EVERYBODY! There is enough to go round for everyone - just think of a financial eqiuvelent of the never ending fish and loaf.
let them Inject, lower rates and intervene, print more money etc.. It's only will pound USD even further.. I'm long on eur/usd big time!
Carry trade will be re unwound on increased risk aversion (what were they thinking when they put it on again). Take a look at AUD.