It January, ofcourse strawberries are going to sport out of season prices. Better example is meat. I used to be able to buy the 4 ribeye packs at costco for about $18 about 2 years ago, now they cost close to $30 each.
Im going to get going for the day, have some business to conduct. Some of you might say good. Haha. I am making this prediction, as stated earlier. If the S&P closes under 1399, then I am declaring the bull market over. I will buy back in when the S&P reaches around 1300. The DOW will probably go down to 11500 from here... Oil is going to be stubborn. It didnt fall past 55 which confirms my theory about the mad rush out of the contracts. Well, lets wait and see a day or two. The OIH prediction I thought to be accurate, however, its in the red right now, but only down by .15 % when compared to the RUT=-1.76% and the RUI=-0.75%. Brazil is right now trading down more then 4% and in a panic at the current time. Mexico down another 2%. These international markets will further accelerate the selloff in the United States. There is a chance that we could have a panic or a crash. The same conditions that existed in 1987 are the same that exist today. Overvaluations, overuse of margin, a foreign market that is out of control, increasing interest rates, possible recession, etc. A lot of large money concerns are on margin. They will have to meet margin calls if their foreign assets sell off too fast. They will meet them by selling their domestic holdings. This is what happened in 1987. Foreign markets crashed, then everyone went to sell at once to meet margin calls...A mountain of sell orders coming in all at once. I believe, however, the chances of a similiar crash are like the chances of the Space Shuttle blowing up or having an accident. Improbable, but it does happen under certain conditions. Those conditions exist right now. I would like to know the margin out for December. If its more then a 30% increase from Dec 05, then that is an alarming sign for me.