Um not a big dead

Discussion in 'Trading' started by stock_trad3r, Feb 9, 2007.

  1. All the bears are rejoicing today while repeating the same BS about the market being overpriced/overavalued and due for a 'massive correction' as they have been saying for the past 5 months.

    Look at the 5 day nasdaq chart. Only lost about 5 days worth of gains.^IXIC&t=5d

    not a big deal

    Dow still shows very strong upward trend^DJI&t=3m&l=off&z=m&q=c&c=

    todays selloff wasn't a big deal at all but was a buying oppotunity assuming you buy stocks.

    This is the time to buy. There was no bad news or any signifigant contributing factors to cause the selloff.

    Here are the top financial hedalines:

    Comair Delays Pilots' Concessions

    Comair delayed its plan to implement wage cuts and other concessions on its pilots Friday after receiving a new contract proposal from the pilots' union, a spokeswoman for the regional airline said.

    * New Tech Puts Online Ad Measures to Test AP
    * Lear Accepts Bid From Icahn Affiliate AP
    * Oil Prices Briefly Top $60 a Barrel AP
    * Is This Year to Burst CEO Pay Balloon? AP
    * Market Overview: Fri 4:20 PM ET

    Nothing singnifigant

    And the top news stories tonight:

    As of 8:50 p.m. PST • Al-Qaida-linked group posts copter video
    • Gates: Bombs tie Iran to Iraq extremists
    • Obama to announce 2008 plans in Illinois
    • French intellectuals losing faith in Royal

    Slip in polls

    • Harvard poised to name female president

    Ivy league salaries

    • Survey finds air travelers most irked by reclining seats
    • Indians, Brewers hope to rebound from mediocrity in '07
    • NBA · NCAA Hoops · NCAA Football · NHL · Soccer

    again nothing signifigant

    Time to buy
  2. Mvic


    You may well be right, some technical damage was done but nothing major yet and selling was surprisngly orderly though we did see and uptick in downside volume.

    As far as news you can use I suggest you cast a wider net. This is a global phenomenon and the string that unravels it may not start in the US.
  3. Tops are made on no news.

    I don't mean we're on a top or something.
    Im just saying that there is no need for breaking news to start a trend.

    Anyway i hope today's session bring some volatility for the coming days.

    Good Night
  4. The various Fed statements were the cause of the move today. Look at the bond markets and note the complete chaos.
  5. Has anyone noticed for three years no choppers were going down. Now in two weeks about six have been taken out. This signals some new technology has fallen into the insurgents hands from Iran or there's a master insider who's putting shoulder armed militia just where they have to be to take out these helicopters. We can't let our guard down folks. At any moment one of these gazillian terrorist groups will pull something off- hopefully in England- (sorry blokes but we've had enough over here. Surrendered already. Most of our rights.) This people not wanting to pay lenders back- it's not going away-m the genie is out of the bottle it's only a matter of time before the big wigs start defaulting on power b oats and luxury cars, this will ripple through the economy both top to bottom and bottom up. Best bet blindly lower interest rates goose the economy & bring the troops home. Stop paying for the war, build the gov coffers and lower taxes. Figure out a radiation pill we can all take if needed...Worry about 3% inflation later. maybe the new paradox is grow your economy hard 6% and live with the inflation...
  6. <i>"This is the time to buy."</i>

    Who are you trying so hard to convince?

    Go ahead and buy if you wish... all your account can handle, if you believe so strongly. You don't need anyone else behind you. If this is another great buying opportunity for you, good luck!
  8. <i>"ZERO RISK BABY!!!"</i>

    That's why you're holding shorts over the weekend?
  9. There is a trend developing, and it should alarm all astute investors: liquidity contraction.

    There is no way that anyone is going to convince me that liquidity contraction, of which the HSBC/New Century/Subprime blowup is just the start, is not a big problem now.

    Robert Shiller has accurately stated that the global residential real estate boom has created the "largest financial bubble in the history of the world."

    This bubble has fueled consumer spending, and in turn, government tax coffers, for the last 8 years.

    Houses and property have risen about 30% a year (more in many parts) for the last 8 years, and property has risen at an even headier clip. That's a problem when the party ends, as it is now.

    When it unwinds, as it beginning to do now, it will be crushing in scope and degree.

    Liquidity contraction is going to adversely affect consumers and equities.

    Throw high absolute inflation onto the heap, and you have a nefarious problem that is greatly complicating the investment horizon.

    Gold is starting to break out, by the way.

    Paul Krugman has it right: The U.S. economic expansion of the last 5 years has been built on housing value appreciation, whereby consumers could treat their homes as ATMs, withdrawing cash to fuel their purchases, and the houses were purchased with money that was subsidized at low interest costs as a result of being borrowed from China and Japan.

    Shiller has it right too: He is very, very worried about the consequences of an implosion in housing, mortgage markets, and general asset values - in fact, he said as recently as this week that even a 'leak' instead of a 'crash' could be devastating.

    All bubbles end badly. History reaffirms that rule time and time again.

    The fed has been able to delay the inevitable because of its ability to print money at an astonishing rate and borrow money from Asia at an artificially low rate, but the end of that cycle is soon drawing near, too (look at the euro and central bank diversification away from the USD).
  10. <i>"All bubbles end badly. History reaffirms that rule time and time again."</i>

    Except for those of us who work the short side with equal aplomb. :D
    #10     Feb 10, 2007