the government wont stop till the market rallies. possibilities -on the G7 meeting they announce some kind of global joint intervention to get banks lending again -treasury/fed announces they will became a clearing house for the financial system -pres Bush signs an executive order providing some kind of support to financial transactions
An encouraging sign that I am seeing today is tech's relative strength. In previous sessions tech was selling off to a much greater extent than the other sectors, today it appears that those who had to sell are mostly done and bargain hunters are at work. I don't think much more central bank intervention is needed, price equilibrium is close at hand and it looks like it might have arrived in the housing sector judging by todays numbers. What needs to change now is psychology. One the market stops going down because forced and panic sellers are done (and I think they are or close to being done) and bargain hunters start buying (I think there is evidence of that today) the pyschology will change. There is little excuse to sell or go short here.
No doubt that when this thing rallies, and it will, that it will be huge. Why? Just to get back to where it was is a nice run. And if goes on to set new highs, it will be a big one. But nothing that surprising.
at this point all the government has to say it 'we are opening our checkbook' and people will buying everything in sight. Fisher said monday no cuts, today he signed on a .50. they are in panic
Everyone, even the bears, know the rally will be monumental when it comes. The question is how much downside is there before that happens.
I knew mvic, daal have been super bears as have I. If were looking for a short term bottom that must mean something Also bonds are selling off hard today