Reason why market just tanked

Discussion in 'Trading' started by Trend Fader, Mar 24, 2004.

  1. Rumors of bomb on french train... connected to Islamic terrorists
  2. Bomb Found on French Rail Line Linking Paris, Basel, AFP Says
    March 24 (Bloomberg) -- An unexploded bomb with several detonators was found today in France on the rail line linking Paris and the Swiss city of Basel, Agence France-Presse cited police in the French capital as saying.

    The device was similar to one found previously that police linked to AZF, a group whose threats to bomb the French railways prompted a nationwide search of the network earlier this month, AFP cited police as saying. AZF had demanded for $4 million and 1 million euros ($1.22 million), AFP reported at the time.
  3. Who says that news doesnt move the markets...

    Once the market realized that no one was gonna get hurt... we just rallied
  4. We now have an explosion to the up side. :D
  5. Yea because no one got hurt.. so markets dont really care. Very emotional tape.
  6. May be you misunderstood my intent.
    I was making fun of your use of the word tanked.

    Nothing changed in the market action, from the beginning of the session. Its been like this all morning, regardless of news .

    You're barking up the wrong tree.
  7. What are u talking about? U didnt see that spike down then up??

    Take a look at a 5min chart of the ES and u will see that volatility. Dow dropped 50 points in a matter of seconds... It even showed up slightly in currency action.

    My point is that the market is nervous.

  8. Cheese


    Agree, Sulong.

    News is never key to a system .. but it sure does provide interesting distortions now and again. If you are working your plan on an anticipated direction or pattern you can even utilize very nicely such distortions.

    As I say many times .. each to his own, as always.
  9. Are you guys nuts? News doesnt effect the markets?

    Lets say the market is forming your super bullish pattern that your guru systems and patten recognition simulations are picking up... Then u get the trigger and go fully long... Market starts to tick up higher.. then oops terrorists assasinate a member of the saudi royal family... whats gonna happen? what are u going to do? Your stops will surely get hit... are u gonna buy more because news doesnt matter and your patterns are smarter?

    My point is that rumors and news do affect the markets.. todays news was minor and was quickly resolved so it wasnt a big deal... but there are days where news will move a market significantly.. aka.. spanish bombing and yassin killing. You gotta be really stupid to continue using your technical methods when there is a major news event taking place.

    #10     Mar 24, 2004