The takeaway here: Markets tend to suck in as much capital as possible in whatever direction, and then do whatever it takes to hurt the largest percentage of that capital. It works both ways, against longs or shorts, depends on where it can inflict the most damage and cause the the higher degree of panic.
LOL, glad to see how you changed your mind from this morning. http://www.elitetrader.com/vb/showthread.php?s=&threadid=99143&perpage=6&pagenumber=65 Rennick out ps. perhaps you should specialize in Waffle House stock
What doesn't help is that many companies gave underwhelming earnings numbers. That contributed to the selloff to a greater extent than subprime issues. The problem is during the big rally and the weeks preceding and following it many stocks were bid too high before earnings season and the underwhelming numbers didn't justify the recent run up. This resulted in heavy profit taking. On a positive note the most downside I see is 100 points for the dow and 52 week high upside in the coming month. If apple has poor numbers that could cause a large selloff. We'll see. Now may be a good time to buy the dip, especially if the dow hits 13600.
I also see boredom. Seems this forum has become awefully quiet today. Nothing stirs up posting like a 100+ point drop on the dow huh? Thats when all the bears come out of hibernation.