Big Gap up tomorrow and we forget this happened!

[TravelTrader]

Quote from detective:

The market can't crash when it has the biggest back stop in the world, the Fed.
The Bernanke put has already been excercised twice, everyone knows the guy loves to cut rates and pump out money.

I repeat. The market can't crash anymore. Those are past phenomenons when the Fed actually cared about the value of the dollar. When you can print massive amounts of dollars, ala Zimbabwe, the stock market goes up, even in a recession.

Um, they have been cutting rates and printing money.

Let's not forget that's how they helped cause this whole mess.

I'm not making any predictions, and definitely not on a daily basis, but that was a lot of selling the past three days. And now the institutions can short without the uptick rule.

 

[MKTrader]

What's interesting is the major Yen-based carry pairs are holding above their November lows. Until now, they've pretty much been in lockstep with U.S. and global stocks. Yes, the GBPJPY is sinking miserably, but that hardly counts....the Pound is getting killed against everything.

I wonder if these carry traders are smarter than stock traders? It's also interesting that the Nikkei, though it got killed over the couple of months, isn't overreacting any more when U.S. indices tank. It's only been down in the 0.3% to 0.7% range tonight.

 

[trader_arb]

Quote from MKTrader:

What's interesting is the major Yen-based carry pairs are holding above their November lows. Until now, they've pretty much been in lockstep with U.S. and global stocks. Yes, the GBPJPY is sinking miserably, but that hardly counts....the Pound is getting killed against everything.

I wonder if these carry traders are smarter than stock traders? It's also interesting that the Nikkei, though it got killed over the couple of months, isn't overreacting any more when U.S. indices tank. It's only been down in the 0.3% to 0.7% range tonight.

It is interesting - earlier in 2007 they would usually tank double what the decline was in US markets. As long as carry trade stays on, we may have some support

 

[neophytenate]

Quote from moron28:


I seriously hope that the Fed is not stupid enough to do what what Germany did in the 1930's.

The U.S. has been doing what Germany did in the 1930s for the past 7 years.

I believe that you meant the 1920s

 

[ASusilovic]

Quote from MKTrader:

What's interesting is the major Yen-based carry pairs are holding above their November lows. Until now, they've pretty much been in lockstep with U.S. and global stocks. Yes, the GBPJPY is sinking miserably, but that hardly counts....the Pound is getting killed against everything.

I wonder if these carry traders are smarter than stock traders? It's also interesting that the Nikkei, though it got killed over the couple of months, isn't overreacting any more when U.S. indices tank. It's only been down in the 0.3% to 0.7% range tonight.

Always good to be an omnipotent observer...

 

[ASusilovic]

Thanx to ET member makloda for this article :

The pulse of uncertainty

 

[no-problem]

Quote from detective:

Watch for a huge gap up tomorrow! These are all institutional games, selloff in the afternoon was to load up into the panic selling of newbies.

Panic selling? Since how long you are trading? You have not seen yet the panic selling.

 

[interdigital]

Quote from no-problem:

Panic selling? Since how long you are trading? You have not seen yet the panic selling.

What was the worst selloff you've ever seen? There was one that I remember in either 2000 or 2001, where the Dow plunged 500 points in less than one hour, I think, although it then rallied 500 points in an hour or less.

 

[frank grimes]

Did stocktrad3r invade your mind detective? Buy and pray is not the place to be right now.

 

[Adobian]

Quote from interdigital:

What was the worst selloff you've ever seen? There was one that I remember in either 2000 or 2001, where the Dow plunged 500 points in less than one hour, I think, although it then rallied 500 points in an hour or less.

This could happen today.