I’ve been too busy tinkering so, beyond twittering, I haven’t had the mindshare to blog. Sorry.
I think the stock market is in for another big leg down soon, not like the slide we’ve had lately but a drop of 500 pts or more in a day. One card Obama adminstration can play to stem or prevent the damage is the restoration of the up-tick rule.
I could be wrong, of course, so use your own judgement.
update on March 2nd at 10:41AM: Dow is at 6800 now, 200+ pts down but the volume is not there, just average so far, so this is not the massive volumn crash I was expecting. It’s as if hedge funds have changed their trading strategy from a disaster movie to suspense-building horror movie. Eerie. The only real support is still 300 pts away, btw, at 6500. There will be continued drama, of course. I’m just not sure what kind.
update on close March 2nd: So the market went down orderly in a straight line more or less with Dow closing down 300, S&P barely hanging on at 700 which makes it look bad. NASDAQ didn’t do too badly but volume was nearly 4x where Dow volume was about 1.5x. Spitting into the wind, downward pressure is still overwelming. I am done looking at the market for today. It’s time to look at some business plans and code.
a reminder to follow me on twitter: my tweets are mostly mindfart but look what I twitted last Thursday. 😉
4 thoughts on “Leg Fetish”
I think the uptick rule is foolish, and I’m generally very pro-regulation-of-finance.
Foolish or not, I don’t think the desirable effect is deniable.
Anyway, just noticed that Asia closed 3-4% down and Europe currently down as much and looking to do worse so what I was afraid of might have already started. Oh, well.
I’m still betting on 5000 or below (http://twitter.com/allenjs/status/1028340694), but it appears that Obama wants it to be slow and volatile. I expect a few big rallies of 100 points or more before it finally drops through 6000.
I just wish we’d get the damned deleveraging over with.
Good call there Joshua. There is growing consensus lately on 5000/500 being the bottom although I frankly doubt it won’t reach that far down. 6000/600 is vulnerable, of course.
BTW, I am going to ignore today’s bounce which is not convincing enough, not even to qualify as a technical bounce.
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