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Another panicked sell off. The VIX, a measure of volatility of the S&P 500 and a reflection of emotion, is through the roof: Emotional trading from others brings opportunity to those who remain level-headed. Doesn’t mean we’ll nail this bottom, when and where it does
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There’s a lot of cross currents, emotions, and macroeconomic forces intermingling right now. And that’s got the markets and most everybody running money losing confidence. And panicking. And running for the hills. I’ve been saying since this sell off really started getting vicious last week that trying
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The markets appear to be trying to attempt to sort of stabilize a little bit…. kind of…. maybe. I’m serious. It’s just squishy and panicky out there. We need to let the psychology play itself out. The S&P downgrade, while in some sense, meaningless to everybody
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The stock markets are down and down big this morning. And although we got an immediate 100 point bounce off the opening lows, the markets have now tested and broken below those opening lows. That said, the markets are now back to where they were during Friday’s lows. I
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Letting The Days Go By/Let The Water Hold Me Down Letting The Days Go By/Water Flowing Underground Into The Blue Again/After The Money’s Gone Once In A Lifetime/Water Flowing Underground. Same As It Ever Was…Same As It Ever Was… – Talking Heads S&P
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What’s right isn’t always popular. What’s popular isn’t always right. – Howard Cosell I’m worn out from this wild action. But we still have 3% of the trading week left, and who knows what the heck that last hour of the week will bring. Will the
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An absolutely huge intraday swing to the upside hits now. And that’s why we don’t panic at the lows. I did sell some WFC puts and I bought some Apple and Visteon at the lows of the day. The portfolio is now up huge on the day too.
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It’s slippery out there. And the path of least resistance seems to be down for now. Take a look at how the markets just keep fading lower intraday today (again): That is tough to fight guys. Stay in the game, don’t panic. But don’t fight this too
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And that’s why we don’t try to catch an exact bottom. This market is going to have to rebuild some base and maybe even just settle down to some daily drips before we really see a sustainable kind of bounce. This morning’s early rally obviously was not
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Power down the computer. Shut down the Bloomberg terminal. Turn off the TV. And go take a walk. You won’t see a 5% intraday sell off in the Nasdaq very often, and if you’re shaken up after today’s sell off, there’s a darn good reason for
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Okay, heading into the close, I’ve done a few more trades. I did sell a fraction of my puts in Wells Fargo, mainly to lock in a 50% gain after just three days. You don’t get returns like that very often and this gives me some cake that
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A snapshot of the headlines says a lot. For what it’s worth, only James Altucher and I seem to be wanting to buy this market on this crash. We could both certainly be dead wrong, but I’d rather be a contrarian. Matter of fact, contrarianism is a form
