the market will open down to an extent equivalent to foreign markets, or about 5% to 8%. That would put the Dow Jones Industrials Average ($INDU) at somewhere between 8,836 and 9,124 -- around the level of the April lows -- and the Nasdaq ($COMPX) between 1,476 and 1,559. this will not be true panic selling, however, because the emotional component of surprise is missing. Rather it will be a pragmatic reaction to the real, fundamental losses and prospective losses to property any rally that materializes off the initial low will fail because there are so many sellers overhead. There will be margin calls and mutual fund redemptions that will cause institutions to sell whenever possible market âspecialistsâ will buy them initially because itâs their job to maintain stability, but they will be happy to sell them up a buck or two pros trying to capture a short-term market inefficiency and will sell them back out for small gains. Pros will wait for the first swing off the opening price to âfadeâ the next move â making what is known as a âcounter-trendâ trade.
The DOW futures settled down 255 points pre-cash-market on 9/11. Take that into account when evaluating the DOW futures vs. cash. Both the CME and the CBOT have deferred Index Futures rollover from September to December until Tuesday, September 18.
all foreign markets gave a lot more back than 5%-8% since last tuesday. The gap down will be huge imho monday. but that's just a gap, it's not the real trouble. It will be difficult to trade this market at least for one hour and maybe more. I base this remark on past big gap down days. fading the move won't be enough imo. We should see a lot of noise with all the conflicting agendas waiting for monday to act on. if you don't have to trade, maybe it's better just to wait and see. all this is very difficult here. I don't see any reason to rush and so stupid things. Do not forget all the foreigners just waiting to sell this market (dollar went down last week). I do think the market will be higher than the open monday within a few days. but what I think is irrelevant. the market is always right and if it decides to go south for longer, don't stand in its way. neo
For whats its worth, I believe the QQQs last crossed at 31.7 on island tuesday morning before all trading was halted. At that price, it implies 7% drop for the nasdaq from the monday close.
Does anybody know where to get quotes on US blue chips traded on foreign markets. I would like to know where MSFT and the likes are at. As for the next two-three days I would be careful about trading halts, system failures, intraday Fed rate cuts and possible new attacks , they had to evacuate the NYSE area again on saturday during their system test.
<b>exce26:</b> Your first post for this thread was an excerpt from Moneycentral.com Why didn't you quote the source? MGB
you might get a clue of things to come today at www.londonstockexchange.com www.liffe.com www.deutsche-boerse.com ... click on "english" regards wild
<FONT STYLE="COURIER NEW"> sydney -131.80 -4.33% </FONT Hong Kong -298.00 -3.09% Singapore -70.79 -5.06% Australian and Asian markets finished lower on Monday.