Whats with the mini crash today?

Discussion in 'Trading' started by Cuddles, Feb 20, 2020.

  1. Is it a real reason for such decline?))

    upload_2020-2-20_19-17-38.png
     
    #11     Feb 20, 2020
  2. Cuddles

    Cuddles

    Certainly getting those vibes now. Election year jitters finally kicking in?
     
    #12     Feb 20, 2020
  3. traider

    traider

    What is factorial? Gamma is possible
     
    #13     Feb 20, 2020
  4. dozu888

    dozu888

    no... this one different… this is the most hated bull in history... just check around... most people are empty handed.
     
    #14     Feb 20, 2020
  5. speedo

    speedo

    Again the top is in ? :D
     
    #15     Feb 20, 2020
    murray t turtle and Nobert like this.
  6. dozu888

    dozu888

    people never learn.
     
    #16     Feb 20, 2020
  7. gaussian

    gaussian

    Too early. I'd expect July-Aug when election volatility kicks into high gear.

    I didn't see a mini-crash. 250 point fall on the DOW is pennies so I didn't even think about it. Less than a 1% fall.

    https://www.bloomberg.com/news/arti...ides-s-p-500-climbs-markets-wrap?srnd=premium

    https://www.marketwatch.com/story/d...tside-of-china-rises-2020-02-20?mod=home-page

    https://www.wsj.com/articles/global...n-cloudy-outlook-11582193972?mod=hp_lead_pos2


    Seems the market is finally pricing in a semi-long term battle with Coronavirus now that China is being slightly more forthcoming with their data. 72,000 infected and rising last I checked. I'm surprised commodities are acting so tame given China has been turning down nat gas and oil for the last few weeks. Approximately two months off to the next set of earnings so I'm sure this is also profit taking and risk removal anticipating terrible earnings for this quarter (as I've been saying).

    There's a reason. Since the dow first broke 20k this bull rally has been fake. It's 100% propped up by cheap money and daddy fed, not value. It's unsustainable like running an engine on cheap fuel and pure nitrous and calling it a good car while patching up leaks once a quarter with dollar store gasket sealer.
     
    #17     Feb 20, 2020
  8. Pekelo

    Pekelo

    It has been in since last Thursday. When I predicted it.
     
    #18     Feb 20, 2020
    _eug_ likes this.
  9. speedo

    speedo

    So the subsequent higher highs were illusions? As a day trader, I don't care one way or the other.
     
    #19     Feb 20, 2020
    murray t turtle likes this.
  10. tsfx

    tsfx

    You seem wrong. There is no coronavirus PRICING. Check the market when virus came and check where it is now. Demand side doesn't give a rats ass about the virus. They don't even know HOW to price a virus.

    It's all about tech stock buying. AAPL, TSLA, AMZN, MA, GOOG, MSFT, you name it. US stock market has heavily decoupled from others because of tech stock boom. The fact that speculative shorts also have emerged due to seemingly overvaluations, so the shorts keep on getting squeezed.

    As long as the pyramid buying (non leverage'd, no stops) and leveraged short selling exists, it'll keep on going up. And no, you won't know WHEN it turns. If you get it right, it was 100% luck, unless you are actually seeing all the flows.


    There you go. Being surprised is what it's all about. There is no rational pricing of fundamentals by the demand side of the market.
     
    #20     Feb 20, 2020