Nasdaq down but well of session lows...


Experienced member
Nasdaq ended the day down for 9th time in 10 sessions...but well of session lows with the help of some buyers coming out in late afternoon..earlier it fell as much as 183 points..
Volume was exceptionally heavy at 2.70 billion ... the second busiest trading day ever for the Nasdaq...

Nasdaq Comp. 2,598 -109
Nasdaq 100 2,507 -96
Dow Jones 10414 -215
S&P 500 1315 -27

Mike Sheldon, chief market strategist at Spencer Clarke said "We're facing the worst tech bear market since 1973. The average Nasdaq stock has fallen 52 percent from its all-time high versus a 57-percent drop for the average stock in 1973,"..

Another, chief market strategist, Art Hogan of Jefferies & Co. said "investors may still have more pain to endure. The pre-announcement season is just beginning. We'll have to [sift through] more bad news." but he added that "there will also be good news that, incrementally, should help the market get back onto firm ground. The Dec. 19 Federal Open Market Committee meeting may, perhaps, give the market the most meaningful piece of good news yet: a shift to a neutral stance on rate from the current tightening bias."

There are optimistic ones too however:

Goldman Sachs' chief strategist Abby Joseph Cohen said in a note to clients "Significant cash levels have built in mutual funds and other portfolios. This, in combination with attractive valuation, sets the stage for higher share prices. Valuations have become more appealing. Our model portfolio is now overweight in technology for the first time in a year,"

Fund managers are indeed sitting on loads of cash. The Investment Company Institute said "cash at U.S. equity funds surged to $212.9 billion in October, up 10.2 percent from the end of September".

Just checked Nasdaq future up +20..

WE don't have a clear picture yet I am afraid..still mixed signals are better then all negative signals I'd say...I am still holding my opinion that we'll soon have a technical bounce..monday, if not tomorrow..

(Quotations from CBS.MarketWatch)

[This message has been edited by rizgar (edited 30-11-2000).]

[This message has been edited by rizgar (edited 30-11-2000).]
HI Riz, hope you and everyone else is surviving!

I think you are right about the technical bounce.
However, I remain pessimistic about how long it will last. Considering that last week we were stating that a rise THEN would enable us to lighten our portfolios without too much of a loss - how much moreso is this true now? Although I suspect a lot of people will have panic sold this week, I think that there will still be substantial selling on any rise. Resistance levels may well be strong.
Be patient....things will turn, as indicators improve/ elections/ buy reccommendations come (like good ole G. Sachs above)etc, but it may take until the new year to happen.
ps 6 days until I have my life back!!!!!!!!