So just speculating but if that's half the mortage market, and the US housing market is really the lynchpin of the global economy, and they will bail it out, isn't that your crash catalyst right there?

    Hardly inpiration for a rally.

    So should be be piling in short again? Opinions Matt, anyone?

    kreem this is why I

    Posted by matt on 11th of Jul 2008 at 02:50 pm

    kreem this is why I did not want to short, every thing's news driven right now and emotion.

    Market is taking off right now for some reason.

    short covering?

    Posted by lpant on 11th of Jul 2008 at 02:55 pm

    The spike up started right when margins go up on futures...on IB, at least.....Matt do you think it was short covering?.......PPT?         crazy crazy mkt right now..........hope it's a sign of a bottom

    got ya, what is this

    Posted by kreem on 11th of Jul 2008 at 02:53 pm

    got ya, what is this crazy ass spike - did God speak?

    Uncle Ben opening disount window

    Posted by bkout3 on 11th of Jul 2008 at 02:55 pm

    Uncle Ben opening disount window to Freddie & Fannie

    BTW sold UYG on spike

    Please explain 'discount window' - Does

    Posted by kreem on 11th of Jul 2008 at 03:23 pm

    Please explain 'discount window' -

    Does that make this Fannie etc situation a good thing?!!!

    Short term loans from the

    Posted by bkout3 on 11th of Jul 2008 at 03:31 pm

    Short term loans from the Fed -- usually just used by banks.

    Seems to me like it would increase liquidity for themso a good thing.

    CNBC now saying this may be a rumor -- not confirmed

    Just another way for the

    Posted by rgoodwin on 11th of Jul 2008 at 02:59 pm

    Just another way for the taxpayers to bail them out.

    kreem - short term traders could

    Posted by matt on 11th of Jul 2008 at 01:05 pm

    kreem - short term traders could short or do what ever they want, dodger said that if the SPX lost 1235that aggressive traders could short, and the SPX lost 1235 today.

    HOWEVER, our #1 goal is to keep people out of trouble. We more members who work day jobs and who can't follow the market every tick then we have day traders who can. Thus we tend to approach most of our analysis with a swing trade mentality; It would not be prudent for us to suggest swing trade shorts at this time even though the market could fall lower. For those who are short they should stay short, but now is not the time to be entering swing trade shorts that someone who is busy throught the day could get caught in if the market capitulated and then rallied hard.

    If you are already short, then super, stay short.

    If you are a day trader or very nimble trader, then short if you wish

    If you are a swing trader or position trader and you are not currently short, now is not the time to short.

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