I'm looking at the DJI chart and it's dropped 1100 points and is in free fall

[LovingKayla]

I posted this in a private forum but I wanted to get Dallas's view too.

I was right about sandy, and from what I'm seeing on the DJI in this chart, it could get real bad real quick. Below is the post.





Holy cow you guys have you seen this? I can't find anywhere reporting on it, probably because I don't have a TV in my office. Is this more fiscal cliff, Europe, and tax crap on Jan 1, or is there something else going on.


It's a dangling participle right now. Go check it out on your trading account if you haven't. It's scary to look at. At the two year chart it's already fallen past where the bump should be. Chart it and tell me I'm wrong. I"ve been sitting in a cash position since September waiting on this. What are yalls thoughts?

[guest043013-2]

Kayla,

You had me a bit confused. Seems like the drop today is only 10 points, I call that statistically unchanged for the day. (Didn't run this through any statistical models, just the TC % change. )

However, the drop since October 18 is about a 1000 points it appears.

I think fiscal cliff, European issues, Obamacare, Obama's re-election, and dumba$$ politicians along with the stupidity of financial managers all play a part. Probably has something to do with Alabama's loss and the disruption of the BCS holy grail too.

[Luvgcz]

of the SPY(proxy for S&P500) you will see that there have been some serious breakdowns in the technials since the high in mid-September. We had a Lower Pivot High in early October which signals a probable downtrend. We had another LPH later that month and we are in a pretty serious downtrend. Another serious problem is that we have taken out the Higher Pivot Low at 140 which was formed the first part of September when the SPY was in an uptrend. The next area of support for the SPY is 133-ish and we're not that far away. Today the SPY closed at 135.7. If 133 doesn't hold then we are looking at 130 and then 127. The last uptrend started the first part of June at 127.

What to do? Learn to day-trade the e-mini S&P 500. Read about the pitfalls first!

The DJIA and SPY have similar chart patterns, usually.

[HorseAround]

Ms. Kayla,

Thank you for the post... If only more folks were in fact paying attention...

Capitulation in the market for a few more weeks until our lawmakers announce that "We are saved" from the financial cliff....

As previously stated, US elections, taxes, economic uncertainty, Europe, unemployment, lackluster corporate earnings, layoffs, Obamacare, etc.... all factor into the market and its shall we say upset stomach as of this writing....

As a side note: A prominent dallas hedgefund manager who handles the UT endowment fund in November of 2011 bought approximately one billion dollars worth of Gold bars (physical gold) and is housing that purchase in a warehouse in NYC...

Probably a bumpy road ahead....... JMHO......

[LovingKayla]

And you all LAUGHED at me for buying silver 2 years ago. I really enjoy this so let me position myself with my hands around my mouth....

Clears throat.....


TOLD. YOU. SO.

Hey that Glenn Beck tard might have something. Hmmmm he even called the generals scandal TWO WEEKS BEFORE it actually happened. Wow. What are the odds, I say in my MOST sarcastic voice ever.

[Zorro]

I'm with you Kayla, I actively trade but I was lucky enough to buy in bulk American Silver Eagle coins in 1997 when they were trading around $6.50-$7.00. Bought quite a few American Gold Eagles also around $335. each.

[LovingKayla]

Zorro, you are so sexy to me right now. What a DEAL!!!!

[LovingKayla]

My bad, markets are open... it's just my slow ass connection.

[Grace Preston]

They aren't.

[Lust4xxxLife]

Originally Posted by LovingKayla

...Hey that Glenn Beck tard might have something.

I agree. He probably has syphilis, because that leads to insanity and Beck is clearly a mental case. :P

Originally Posted by LovingKayla

Hmmmm he even called the generals scandal TWO WEEKS BEFORE it actually happened. Wow. What are the odds, I say in my MOST sarcastic voice ever.

The odds are zero. He didn't.

Cheers,

L4L

[bldyrpxn]

Ms. Kayla,

You never fail to impress me with your wisdom, sexiness, and good ol' horse sense!!!

It looks like the fiscal cliff, international issues, our election, and people tapping out of their capital gains before year end has caused this drop in the DJIA and is even holding the metals back.

[Poppa_Viagra]

Our money has been debased since Teddy Rooseveldt, and will continue until we're trhe very picture of the Weimar Republic.
From Wiki:
John Maynard Keynes described the situation in The Economic Consequences of the Peace: "The inflationism of the currency systems of Europe has proceeded to extraordinary lengths. The various belligerent Governments, unable, or too timid or too short-sighted to secure from loans or taxes the resources they required, have printed notes for the balance."