Saddam Captured - Predict the Gap

[EricP]

Let's predict the opening gap on the S&P 500. How where do you think this index will open for trading Monday morning?

 

[EricP]

This news seems certain to improve the confidence in the markets, especially on top of the recent DJ 10,000 milestone. I would imagine that some defense stocks might experience weakness as a result of this news, but overall, this may be just what the market needs to break out of it's recent trading range.

At the very least, this news should create some great volatility this next week, which is exactly what most traders need. I am looking forward to it, and hope it the beginning of increased volatility levels going forward.

Personally, I am also very happy that this capture occurred over a weekend. For me, the months of March, April and May of this year were very tough to trade due to sudden news events or unfounded rumors of news events causing sudden market spikes that simply rewarded the lucky. My occuring during non-market hours, we will see great volatility WITHOUT being caught on the wrong side of a daytrade during the spike.

Best of luck on Monday,
-Eric

 

[bobcathy1]

Oh, this should be a nice gap....if you like those sorts of things

I think 3%.....but I would not short it at the spike....take a pullback here and there long......IMHO

 

[pspr]

Saddam's sons were killed July 22nd and I think it was announced that evening. Check out the attached chart of the S&P E-Mini (Dow above) for that time period.