Dow 2008

[dans_ya_man]

Very tight stops silversea

 

[jonnyy40]

Well obviously the FED leaked their plans on the 16th August and that was the cue for the big (political) money to liquidate their longs.Now it's just the plebs in the firing line and someone has to pay the piper.

 

[firewalker99]

Very tight stops silversea

Tight stops won't help anybody trying to catch a falling knife...

 

[dans_ya_man]

Where will it stop, that is the question?
Looks like at some point we will be testing the highs of 2005 at the 11000 zone, or are we at or near the bottom??

 

[darktone]

not that i'm complaining as i'm short but can anyone explain why the dow cash has dropped 300 pts in pre opening on a short trading day?

yup, theres a reason!.. its called PANIC!!

 

[Silversea]

6:04am - Long 1273
STOP 1272.50

STOP Filled : Loss - .50

06:57am Long 1256.50
STOP 1256.00

 

[Silversea]

6:04am - Long 1273
STOP 1272.50

STOP Filled : Loss - .50 , Total Loss: - 1 Pt = $50.00 ( A Tank of Gas for my Lexus )

06:57am Long 1256.50
STOP 1256.00

 

[dc2000]

Dow forming inverted H&S

 

[firewalker99]

STOP Filled : Loss - .50

06:57am Long 1256.50
STOP 1256.00

I don't see how you can trade with stop losses from 0.50 points... you are not giving the trade any room at all? Is that how you always trade?

 

[Silversea]

Very tight stops silversea

Junior Member,

Counter-Trend Entry requires tight stops and precision.

STOP Loss moved to : 1256.75

 

[firewalker99]

Junior Member,

Counter-Trend Entry requires tight stops and precision.

And guarantees a death by a thousand cuts.

 

[Snownation]

Those are indeed tight stops, on a volatile market.
What are you attempting to do?

 

[Dowking]

Unbelievable! i dont think anyone could have expected this - i was bearish for today like most peeps, but didnt think that the dax and dow would be off 500 points today! Is this classic panic selling - or is panic selling even worse than this. Just wanted to hear some other opinions as to what everyone thinks. Is this what would be classed as capitulation? :s

 

[firewalker99]

Unbelievable! i dont think anyone could have expected this - i was bearish for today like most peeps, but didnt think that the dax and dow would be off 500 points today! Is this classic panic selling - or is panic selling even worse than this. Just wanted to hear some other opinions as to what everyone thinks. Is this what would be classed as capitulation? :s

500 points in the DOW still isn't exceptional, considering the daily range of the DOW has been around 250-300 points lately...

 

[dans_ya_man]

Interested in what peoples different strategies are in confirming that this down trend has bottomed out and when to go long:?:
will you be waiting for the price to hit a certain suport zone to go long and hope that the price goes up keeping a tight S/L, or wait for confirmation after support zone has been hit, if so what kind of confirmation will you be looking for:?:

 

[arabianights]

500 points in the DOW still isn't exceptional, considering the daily range of the DOW has been around 250-300 points lately...

A 500 point move is about 10 times as significant as a 250 point though (assuming a nice long tail).

Fun day though in pretty much every market :cheesy:

P.S. Silversea, a bit harsh, indeed rude, perhaps? Tight stops & volatility are a dangerous combination.

 

[Snownation]

I think people are finally dumping stock after last week's trading. Recession fears further reinforce the selling of stock. I would think a bearish lookout is expected for the rest of this week, when traders are back tomorrow after their holiday. I don't think there will be much buying power.

I don't have complex software to identify signals, but i reckon, for the rest of this week, we could be down 11700 before rallying slowly again.

 

[firewalker99]

A 500 point move is about 10 times as significant as a 250 point though (assuming a nice long tail).

Why's that? Reversal days are imo much more significant than continuation days (like today)... Whether they are 50 or 500 points makes little difference, price is just traveling towards the nearest support level. Sometimes this happens slowly, other times this feels like a free fall.

 

[dc2000]

Unbelievable! i dont think anyone could have expected this - i was bearish for today like most peeps, but didnt think that the dax and dow would be off 500 points today! Is this classic panic selling - or is panic selling even worse than this. Just wanted to hear some other opinions as to what everyone thinks. Is this what would be classed as capitulation? :s

This isnt panic not yet and whilst I will be long at points this week I would not be long overnight after Thursday

 

[arabianights]

Why's that? Reversal days are imo much more significant than continuation days (like today)... Whether they are 50 or 500 points makes little difference, price is just traveling towards the nearest support level. Sometimes this happens slowly, other times this feels like a free fall.

I was speaking of statistical significance. To take my arguement to an extreme, if the dow were to fall five thousand points tomorrow that would be much more than ten times as significant as the fall today!