Sitting on the edge of a cliff

Discussion in 'Trading' started by MrDODGE, Mar 9, 2008.

  1. This is not fear mongering but a serious issue. Most of my current positions are long. However, I think the market may be in trouble for these reasons in order.

    - I-banks announce we are in a recession
    - TMA goes bankrupt (should happen this week)
    - ABK & MBI lose their AAA ratings worsening the credit crisis
    - CFC investigation causes BAC deal to not go through
    - Inflation comes in high and the Fed shouldn't cut but does for fear the credit problem will worsen
    - Unemployment for March goes up to 5.2% - 5.4%
    - Major funds implode as investors run scared
    - Dollar keeps falling while commodities run higher ($1.75 EUR/USD is not out of the question)
    - Gasoline hits $4/gal by June
    - Food prices increase
    - Major companies announce massive job cuts
    - Banks afraid to lend to people with good credit standing
    - Fed Funds rate cut to a low of 1.50%
    (Unforseen problems at this time... probably more bankruptcies)
    - Democrat, probably Obama, is elected president and raises the capital gains tax rate

    Miss anything?
  2. dloomis514

    dloomis514 Guest

    sounds like a bottom :)
  3. This is the week we hit $1,000 gold.
  4. S2007S


    Negative GDP
    Billions of ARMS resetting in 2008
    Foreclosures still skyrocketing, 2 million possible by the end of 2008, should peak out sometime in 2009.
    Liquidity drying up....
    Commodity BUBBLE....
  5. S2007S


  6. Increased market incentives to downside with the elimination of the uptick rule by Bush appointees and former Goldman Sachs CEO and current Secretary of the Treasury.
    American Gangsters at their best.
  7. so many investors think we will get a one day wash out and boom;the markets will revert to bull mode. that would be true if the market forecasted an economic recovery in 6 months but i do'nt believe it will. i think this bear will be around for a while. no way we have an imminent "V shaped recovery".
  8. Goldman Sachs, the "Enron" of the financial world, takes HUGE losses as the credit default swaps they sold by the tens-of-billions, start defaulting. I see GS <$50 :D :D :D
  9. Nuclear war with Iran?
  10. why does everyone call bottoms? i predict we are going to get a slightly major lower low. Everyone is going to call it a double bottom. Probably get a nice rally after back to the 130s. Then we start another nice downleg.
    #10     Mar 9, 2008