Imminent and severe market correction

[lasty]

Are you really that stupid? If its not "big bad algos" then its some random trader doing it. All an algo is, is a trading strategy that is automated.

You should be laughing at the algo boys for being too stupid to make it as discretionary traders... and besides, do you really think that all algos have some magical edge that automatically gives them money? Just because you have a team of PHDs, co-location super computers and RT fees in the cents, doesnt mean you will make easy money. Its still hard. There are plenty of algo teams out there losing money like no tomorrow.


We dont need regulation to help save poor retail investors from their own ignorance. If they dont like the platform offered by any broker, why dont they just find another one?! Its not lik any broker has a monopoly over the markets. Its a waste of our tax dollars.

Am I really that stupid ?
Could be or am I just in the know of what's going on after a few years in this game.
Algo's do more than create modelling for hedgefunds.
Just like any casino there are those who are out there to try and beat the system ethically or unethically.

 

[MRC & Co]

Am I really that stupid ?
Could be or am I just in the know of what's going on after a few years in this game.
Algo's do more than create modelling for hedgefunds.
Just like any casino there are those who are out there to try and beat the system ethically or unethically.

I would bet the 2nd option. Definately some unethical algos out there. See it all day long in order flows, the exact same thing that discretionary traders get done for, the algos get away with all day long on huge volumes!

 

[Aussiejeff]

I would bet the 2nd option. Definately some unethical algos out there. See it all day long in order flows, the exact same thing that discretionary traders get done for, the algos get away with all day long on huge volumes!

I'm glad Algobots are driving the world's stock markets.

Humans are too prone to mistakes.

 

[Naked shorts]

I would bet the 2nd option. Definately some unethical algos out there. See it all day long in order flows, the exact same thing that discretionary traders get done for, the algos get away with all day long on huge volumes!

Thats an issue of market regulation. If they cant stop algos doing it then they should never of stopped discretionary traders doing it. Im sure someone has been paid a lot to make sure things are the way they are

 

[Aussiest]

TT, but yeh, you can see the same through IB.

MRC & Co, or anybody else (?), what is "TT"? Is it free?

 

[skyQuake]

MRC & Co, or anybody else (?), what is "TT"? Is it free?

Trading Technologies - powerhouse in futures platform. Very definitely not free. Quite expensive; know for the "Ladder"

You can see it in the Macq bank employee busted vid:

http://www.youtube.com/watch?v=v1m8a4Jl4ZI&feature=related

The blue and red price ladder.

 

[Aussiejeff]

Ha!

The Algobots had fun last night.....

SELL, SELL, SELL....

 

[GumbyLearner]

Ha!

The Algobots had fun last night.....

SELL, SELL, SELL....

Gopd to know you are still around AJ.

Just remember those parasitical algobots at the cash register.

That's where they are most noticable.

That's why when in OZ, I buy my fruit and veg at markets. Uh..Oh
the ATO are onto this thread.

Buy local and stuff em I say

 

[Aussiejeff]

Gopd to know you are still around AJ.

Just remember those parasitical algobots at the cash register.

That's where they are most noticable.

That's why when in OZ, I buy my fruit and veg at markets. Uh..Oh
the ATO are onto this thread.

Buy local and stuff em I say

Let's not forget those cynical, sinister Adbots - screeching, bellowing &
hollering from the IdiotScreen 30 times every hour of every day of every week of every month of every year forever and ever... "SPECIAL SALE - BUY, BUY, BUY!!!"

The daily finance merry-go-round appears to be spinning faster and faster.

To whit - "With what shall I buy them, dear 'Liza, dear 'Liza, with what shall I buy them, dear 'Liza, with WHAT??"

"With CREDIT dear Jeffrey, dear Jeffrey, dear Jeffrey, with CREDIT dear Jeffrey, dear Jeffrey, with CREDIT!!" - to be intoned faster and faster until we all disappear in a big *poof* of smoke and mirror shards.....




PS: Back on topic, DOW tanked -268 (-2.61%) overnight on a raft of *suddenly grim* financial/economic news worldwide. Of course, Chairman Obamasan will no doubt cook up some razzamattaz figures to soothe the Big Boyz in Wall St within the next 24 hours.

 

[basilio]

Gee it looks like we are back to "terror land" in the stockmarkets. And this time all the governments are way out of their depths in terms of "saving" companies.

I also can't remember when markets were looking at possible sovereign debt defaults by multiple large first world economies ie Spain, Portugal, Greece Eastern Europe. That's 1930's and beyond stuff..

Best thing to do today? Get out the gardening tools and start weeding the vegie patch. And while your at it consider a garage sale for all the stuff that's been piling up in the spare bedroom. There may be a more urgent use in the near future.

Cheers

 

[Atlas79]

My shares are getting hammered after a really good week...

Anyone else? Is this because the dow dropped or because of the crap in Europe? (I hear we are looking at a decent chance of the EU breaking up...)

 

[Aussiejeff]

Best thing to do today? Get out the gardening tools.... *snip*
Cheers

Yes. Apparently pitchforks and scythes were very handy during the French Revolution. A hoe or two wouldn't go astray either...

 

[Bigukraine]

My shares are getting hammered after a really good week...

Anyone else? Is this because the dow dropped or because of the crap in Europe? (I hear we are looking at a decent chance of the EU breaking up...)

Imho the chicken is comming home to roost..... i can see that the eu countries that can look after themselves in this fragile recovery don't want to really help their neighbours out so the result i believe is what we are seeing now. China is curbing lending which is to try to put a slight dampner on their rampent growth and here in oz the RBA not putting up rates, banks tightening on lending, small bus. can't get loans......... looking like lots of trouble on the horizon!!

 

[Aussiest]

Trading Technologies - powerhouse in futures platform. Very definitely not free. Quite expensive; know for the "Ladder"

You can see it in the Macq bank employee busted vid:

http://www.youtube.com/watch?v=v1m8a4Jl4ZI&feature=related

The blue and red price ladder.

Thanks very much skyQuake! I saw that in the background of the Mac "busted" vid, and was interested in a platform where i can see market depth of Futures etc.

 

[Edwood]

Russell in a recent interview seems to be quite cheery on it all:


from richard russell

Question -- Russell, over recent months, your instinct or something else told you that the market was in trouble. Your bearishness was in the face of your bullish PTI and in the face of the improving Lowry's figures. So far you appear to be right. But right -- only over the short term. Can you pull your "crystal ball instinct" out of its bag and tell us what you see ahead over the long term?

Answer -- I hesitate to do this, because I'm afraid it may sound outlandish, but here goes.

I think this bear market rally is in the process of breaking up. I'm guessing that the Dow is going to run into some panic action early this year, and I think the Dow will violate first its November low and then its March low.

I believe we're heading into something that nobody, in their wildest dreams, is thinking about. What will it be? It will be a full correction of the entire rise from the 2002 low of 7286 to the bull market high of 14164.53 set on October 9, 2007. Remember, I warned about the 50% Principle which came into play at the halfway level of the Dow 2002 to 2007 advance? That halfway level was 10725. After topping out in late 2007, the Dow turned down and violated the 10725 level. After bearishly breaking the 50% level, the Dow continued its decline and sank to 6547.05 on March 9, 2009.

Since that March low we've experienced a bear market rally. The rally that advanced the Dow to 10725.43 on January 10, 2010.

Thus, and it's really incredible, the Dow rallied exactly back to the 50% Principle level. Having risen to 10725.43 on January 10, the Dow then turned down. I consider this extremely bearish action. It's as if the market see-saw swung all the way back to the old 50% level and then turned down.

Picture a child's see-saw. The heavy end rises to exactly its horizontal level, but it stops there. From the horizontal position, the heavy end of the see-saw sinks down again to the ground. The market can act, physically, like a see-saw.

Working again with the 50% Principle, I now see the market sinking down, much like the heavy side of a child's see-saw. I see the Dow declining to the low from which the entire rise started. That low was the 2002 low of 7286. If the Dow does not halt its decline at 7286, I see it sinking down to its 1980-82 area, which would be around Dow 1000.

Older subscribers who were with me over the years probably remember that the Dow pushed time and time again against that resistance ceiling of 1000. On November 20, 1980, the Dow finally broke out above the 1000 level to close at 1000.17. In 1981 the Dow hit a higher high of 1024.05. In 1982 the Dow hit still another high of 1070.55. Thus, the Dow finally left the 1000 resistance level behind. Therefore, I consider the level of Dow 1000 to be first a powerful resistance level and now a powerful support level

Thus, if the 7286 level recorded in 2002 is violated, I see the Dow declining to the 1000 level. Seems impossible? Seems out of the question? Call it anything you want, but that's where I stand. That's what I believe could happen if the advancing structure from the March low breaks down. And it does appear to be breaking down. The current market action is the worst.

 

[matty77]

scary stuff!

 

[Market Sniper]

not if you are short

 

[Trembling Hand]

not if you are short

Touche

 

[Bushman]

Range bound market for the next few as the 'wall of worriers' look to see if the PIIGS (Portugal, Italy, Ireland, Greece and Spain) can avoid defaulting on their debt and then get nervous about US debt now being above 80% of GDP.

My 2c

 

[explod]

Best thing to do today? Get out the gardening tools and start weeding the vegie patch. And while your at it consider a garage sale for all the stuff that's been piling up in the spare bedroom. There may be a more urgent use in the near future.

Cheers

Good one basilio, we have been doing that in our place and said we were heading this way a few years back but regarded as nutters.

Did a techo on the Dow back then saying Dow could go to 1 or 2 g's They will all prolly start listening to the Russell fella.