How Low Can It Go?

Schneed10 · 03-11-2009, 10:58 AM

Quote:

Originally Posted by saden1

God damn it, why the hell isn't short selling illegal?

Because over the long haul it has no impact.

70Chip · 03-11-2009, 03:00 PM

Quote:

Originally Posted by Miller101

That can't be!

Obama's spending bill was being voted on by the senate when the rally happened. There is no way that the market could have gone up! Click on a link from Fox News if you don't believe me!

Anyone trying to parlay a single day on Wall Street into a political argument is playing a fool's game. That's why this thread has been largely civil. No one knows what the hell is going to happen next, so everyone is loathe to take credit for an upswing because they don't want to have to own tomorrow's downswing.

Schneed10 · 03-10-2009, 04:26 PM

Yeah, Citi said they're posting profits so far this year.

In the markets, perception becomes reality. There's so much doom and gloom out there that it's causing people to contract spending and sell equities at a rate faster than the fundamentals would suggest. In reality, things are bad, but not that bad.

The markets will have more down days in the weeks and months to come as people continue to fret. But eventually some positive economic data will come in, like the Q1 earnings for the Fortune 500 companies, GDP, inflation, jobs, etc. When that data starts coming in positive the psychological rebound will be huge. When you go from so much doom and gloom to actually seeing some positive indicators show up in black & white reports, the tendency is to get exhuberant. This market will bounce back really hard when that happens.

That Guy · 03-10-2009, 06:38 PM

i think this is probably just a blip up and not a sign of things to come.

it'll recover eventually... I did get a 12% one day return though (thanks gamestop and best buy).

70Chip · 03-10-2009, 08:07 PM

Quote:

Originally Posted by That Guy

i think this is probably just a blip up and not a sign of things to come.

it'll recover eventually... I did get a 12% one day return though (thanks gamestop and best buy).

So do you and everyone else take profits tomorrow and send it way back down?

That Guy · 03-10-2009, 08:23 PM

Quote:

Originally Posted by 70Chip

So do you and everyone else take profits tomorrow and send it way back down?

it'd be the safer move, maybe go back into bear market stocks (short sales), but i'll let it ride, since i only have this year's roth contribution in that account... if it were a million i'd probably treat it differently, since that'd be over a year's living expenses in one day

saden1 · 03-11-2009, 12:48 PM

I'd also point out that gaming companies in their time of need for cash can in fact put them out of business. We "have" the Uptick rule for that reason, unfortunately it isn't good enough.

That Guy · 03-11-2009, 02:40 PM

short selling and buying on margins aren't generally the best of things, but corrupt hedge fund management (like kramer disucsses, which is the norm) and the financial industry and congress/lobbyists/etc all pushing each other for less regulation are bigger issues.

and a unjustified negative perception CAN kill a good (smaller) business without a huge cash reserve.

dmek25 · 03-17-2009, 06:39 PM

Housing starts take surprising jump in Feb.
Wall Street closes strong; Dow up 179 points
hopefully the beginning of good things to come

dmek25 · 03-17-2009, 06:41 PM

sorry, something up with the links

70Chip · 03-17-2009, 07:17 PM

The Dow had had a good 6 days. Perhaps we have seen the bottom. If so, congratulations to Matty, Jsarno, and Schneed for being the closest. However, I think we will wait a while longer to make sure.

Schneed10 · 03-17-2009, 08:57 PM

Quote:

Originally Posted by 70Chip

The Dow had had a good 6 days. Perhaps we have seen the bottom. If so, congratulations to Matty, Jsarno, and Schneed for being the closest. However, I think we will wait a while longer to make sure.

On a bottom you should actually wait a year or so to see if it's a real bottom or not.

saden1 · 03-18-2009, 12:08 AM

It's b.s. rally, big boys playing big games. Nothing has changed really.

That Guy · 03-18-2009, 01:22 AM

yeah, citigroup gets good news, market goes up, short sellers come in to make their cash. repeat.

70Chip · 03-18-2009, 01:48 AM

Speaking of the shorts, here's a nice primer(I'm not a financial person so I find this sort of thing helpful):

03-10-2009, 04:26 PM	#3
Schneed10 A Dude Join Date: Feb 2005 Location: Newtown Square, PA Age: 47 Posts: 12,458	Re: How Low Can It Go? Yeah, Citi said they're posting profits so far this year. In the markets, perception becomes reality. There's so much doom and gloom out there that it's causing people to contract spending and sell equities at a rate faster than the fundamentals would suggest. In reality, things are bad, but not that bad. The markets will have more down days in the weeks and months to come as people continue to fret. But eventually some positive economic data will come in, like the Q1 earnings for the Fortune 500 companies, GDP, inflation, jobs, etc. When that data starts coming in positive the psychological rebound will be huge. When you go from so much doom and gloom to actually seeing some positive indicators show up in black & white reports, the tendency is to get exhuberant. This market will bounce back really hard when that happens. __________________ God made certain people to play football. He was one of them.

03-10-2009, 06:38 PM	#4
That Guy Living Legend Join Date: Jun 2004 Location: VA Age: 43 Posts: 17,620	Re: How Low Can It Go? i think this is probably just a blip up and not a sign of things to come. it'll recover eventually... I did get a 12% one day return though (thanks gamestop and best buy).

03-11-2009, 12:48 PM	#7
saden1 MVP Join Date: Feb 2004 Location: Seattle Age: 47 Posts: 10,069	Re: How Low Can It Go? I'd also point out that gaming companies in their time of need for cash can in fact put them out of business. We "have" the Uptick rule for that reason, unfortunately it isn't good enough. __________________ "The Redskins have always suffered from chronic organizational deformities under Snyder." -Jenkins

03-11-2009, 02:40 PM	#8
That Guy Living Legend Join Date: Jun 2004 Location: VA Age: 43 Posts: 17,620	Re: How Low Can It Go? short selling and buying on margins aren't generally the best of things, but corrupt hedge fund management (like kramer disucsses, which is the norm) and the financial industry and congress/lobbyists/etc all pushing each other for less regulation are bigger issues. and a unjustified negative perception CAN kill a good (smaller) business without a huge cash reserve.

03-17-2009, 06:39 PM	#9
dmek25 MVP Join Date: Oct 2005 Location: lancaster,pa Age: 64 Posts: 10,672	Re: How Low Can It Go? Housing starts take surprising jump in Feb. Wall Street closes strong; Dow up 179 points hopefully the beginning of good things to come __________________ "It's better to be quiet and thought a fool than to open ones mouth and remove all doubt." courtesy of 53fan

03-17-2009, 06:41 PM	#10
dmek25 MVP Join Date: Oct 2005 Location: lancaster,pa Age: 64 Posts: 10,672	Re: How Low Can It Go? sorry, something up with the links __________________ "It's better to be quiet and thought a fool than to open ones mouth and remove all doubt." courtesy of 53fan

03-17-2009, 07:17 PM	#11
70Chip Playmaker Join Date: Jan 2006 Location: Manassas Age: 55 Posts: 3,048	Re: How Low Can It Go? The Dow had had a good 6 days. Perhaps we have seen the bottom. If so, congratulations to Matty, Jsarno, and Schneed for being the closest. However, I think we will wait a while longer to make sure. __________________ This Monkey's Gone to Heaven

03-18-2009, 12:08 AM	#13
saden1 MVP Join Date: Feb 2004 Location: Seattle Age: 47 Posts: 10,069	Re: How Low Can It Go? It's b.s. rally, big boys playing big games. Nothing has changed really. __________________ "The Redskins have always suffered from chronic organizational deformities under Snyder." -Jenkins

03-18-2009, 01:22 AM	#14
That Guy Living Legend Join Date: Jun 2004 Location: VA Age: 43 Posts: 17,620	Re: How Low Can It Go? yeah, citigroup gets good news, market goes up, short sellers come in to make their cash. repeat.

03-18-2009, 01:48 AM	#15
70Chip Playmaker Join Date: Jan 2006 Location: Manassas Age: 55 Posts: 3,048	Re: How Low Can It Go? Speaking of the shorts, here's a nice primer(I'm not a financial person so I find this sort of thing helpful): __________________ This Monkey's Gone to Heaven Last edited by 70Chip; 03-18-2009 at 02:03 AM.

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How Low Can It Go?

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