The best case was that we saw a big pop today and that didn't happen. Everything seems set up for plenty more losses next week, unless perhaps the Fed swoops in and does a big rate cut. I don't know ... I'm tired of speculating. This is madness. The rules just don't apply anymore.
Well, better get on your knees and start praying that the Dow bounces up from here, because if we don't get back above 10,000 soon I see at least 8,800 in our future, or worse, 8,000. This is exactly what I was fearing last week.
I was too worried about the prospects of a weekend gap (Fed interest rate cut or something similar) to hold my SDS position over the weekend. I'm pretty much all cash now, waiting to see how deep this rabbit hole will go. Unless the Fed swoops in sometime in the next couple of hours, we may be looking at the real black Monday -- 10% losses or more today.
To be fair, C was looking great for a while there. The WFC deal was completely out of left field, took even the guys at C by surprise. One of my close friends lost a chunk of money on that. He was so pissed.
bought C friday before it took a turn downward... really hoping they make some progress with WB. if not, i'll just hold long term.
This guy gets it: http://www.minyanville.com/articles/term-auction-facility-equity-credit-risk/index/a/19326
am i gonna have to step in and buy some DXD, SDS, and QID to get this thing turned around? because i'm almost positive that would do it.
Bank of America getting slaughtered in after hours trading. Earnings were like 13c vs 82c and they're trying to raise $10b in a new stock offering. What's that ... uh oh, big bad BAC is cash-strapped all of a sudden? That's what you get for spending like drunken sailors and bailing out MER at $29/share.
i bought some SDS when the s&p was down 87. it then immediately (it was uncanny) started going up and finished up 4.5% from that point. so, like i promised earlier, i helped us find a bottom (at least before it goes down 10% tomorrow). granted, i made much more from my other stuff going up than SDS going down, but it was still funny.
and if anyone else is still reading and has experience with after-hours trading, can you do trailing stop limit sell orders in after-hours trading? and will they actually execute? i ask because i was thinking about it for earnings, where huge swings occur in the after-hours trading. if a stock was at say, 100, right before earnings, you could just buy some and put a trailing stop limit at 95 or 97 or whatever offset you choose, and if it beats earnings, it'll probably shoot way up, maybe 10+%, but if it doesn't, you limit downside risk fairly well. assuming you're picking volatile enough stocks and you get in the neighborhood of 50% right by just not being completely unlucky, you'd seem to win. but maybe you can't do that in after-hours trading or it doesn't work very well since i've been reading that trades don't always execute perfectly. but for high volume stocks (aapl, ge, etc) where there should be a lot of buyers and sellers, they can't just ignore your limit order can they? could it just fall to 85 and nothing happens and now you're stuck with a 15% loss or do most all trades go through?
I love GE but I can't bring myself to touch the stock....they are huge in commercial real estate lending...they are fairly conservative so they might be ok (like WFC is) but really I think there are lots of opportunities out there so I'm avoiding it....I picked up MSFT and INTC...just can't believe these things are trading at such low multiples of cash flow (way more important than P/E)
