Why the selling?

[Snuskpelle]

Let's see, it would be stupid of me to point to a particular reason, but:

• Hawkish Fed (rates complex first to sniff this out)
• Incoming data not so hot in all aspects
• Evergrande et al
• Edit: And oh course the periodic debt ceiling debacle that US politicians insist on having

...and this in a setup that on quite a few measures exceed 2000 mania.

Anyone who's been in this long enough knows that's not enough to make top calls though.

 

[Handle123]

I found a good enough reason to sell certain new contract highs or buy new contract lows back in the 1990's, and it became quickly better when I learned to hedge. Set one target based on margin to liquidate a percentage and rest have a breakeven stops.

Markets go up and down seldom no particular reason at extremes, at some point when "Joe Average" is getting hurt in their retirement accounts, market has already plunged a good amount and then there is so called reasons. Some might say hourly wages at fast food places are paying $15 and still can't young people to get a job. I love it.

Markets are like potholes, some deeper than others, get fixed for awhile and then freeze, before you know it a deep pothole.

Always found it funny no one is screaming when markets going up too fast.

 

[Overnight]

...

Always found it funny no one is screaming when markets going up too fast.

View attachment 268665

There is a delicate irony about that. Our favorite no-hold-barred bull Rickshaw Man was screaming that it was too vertical not long ago. I guess right before Labor Day. But he went long anyway. So did I. Alas.

 

[SPX Options Trader]

Why all the selling?

Imagine if you bought and sold at the ideal moments on the S&P chart, you would be a millionaire in a day. If you bought enough put options.
I could tell you why the market went down.

 

[tomorton]

The selling is so that I can get long again asap.

 

[virtusa]

For each contract there is a buyer and a seller.
So if there is a massive sell, there has to be a massive buy too. If not there wouldn't be a transaction.

 

[Snuskpelle]

For each contract there is a buyer and a seller.
So if there is a massive sell, there has to be a massive buy too. If not there wouldn't be a transaction.

More accurately perhaps is that the sellers had a higher sense of urgency in that they were willing to accept lower prices.

Nonetheless, calling down days "selling" is commonly accepted parlance even if it strictly speaking is incorrect.

 

[Nine_Ender]

Range bound consolidation after a nice run up subject to some pressure from Evergrande. Likely renewed buying roughly November-January. Unclear what will occur in the immediate but a sector based approach eliminates most downside risk.

 

[murray t turtle]

More sellers than buyers

%%
OLD ag pattern;
people are used to selling red apples \SEPT. Dump a lot of anything in SEPT \market price comes down. Bonds are correlated to itself.
Some elite asked a profitable Dow daytrader ''dont you ever look @ price of oil??'' The profitable Dow daytrader said ''NO, Dow is correlated to itself'' ,

 

[murray t turtle]

For each contract there is a buyer and a seller.
So if there is a massive sell, there has to be a massive buy too. If not there wouldn't be a transaction.

%%
TRUE;
but we commonly call a down day[ @ close], down, down volume, sell volume.Or put another way more sellers wanted out @ any price, so price closed down.
Default doesnt have to be bearish, market uptrended good during Trump gov shutdown.

SEPT stock sells/ETF sells are common pattern in SEPT stocks\ regardless of bond downtrends, mr Tarzan....................................................... NOT a prediction , not bank insured, not a bond buyer today.