As I stated before, world markets are moving in unison and the fact that they are all moving down quickly is very negative, espcially for us when we open again. Thus far today, most European markets have lost all of what little gains they have made over the last day or sofollowing the initial big loss. Asian markets are behind by a day, so it is not surprising to see Hong Kong and Nikkei move up overnight, however, there are many asian markets which have yet to bounce at all.
I have mentioned that my thoughts are that the world markets will be heading lower again as all were consolidating on the lows following a big drop which is usually a bearish sign, and after 2 days of a mild bounce, they have once again turned south.
Gold continues to spike showing instability in equity markets and foreign currnencies are once again moving up against the dollar which suggests uncertainty in our own markets. 2 days should have been the maximum time allowed for keeping our markets closed. Any longer than that, and you begin to increase the fear factor again. Plus, if foreign markets continue lower during this time, it will add more negative pressure to the US markets for when they open.
Whether you agree to them or not, these are the FACTS folks. These are things that are happening NOW. I may have predicted much of this, but I am not the market nor do I have the power to move it, so choose your arguements carefully.
I will say, that buying stocks blindly as a "patriotic" cause is foolish on the retail level and you are putting YOUR hard earned money at risk. If the market does decline, shorting may not even be possible as shorts cannot be opened on a downtick, so it will be pure selling that controls it. For the bounce side...wait until the market shows its colors. Let the government and the big brokers make the first big move to see if they can stabilize the market. They are the ones with the big money. They are the ones with the power to possibly support the market. Not you. IF they can show stability first, only then would I consider going long. |
