Who is selling/buying - what is driving the market?

[Snakey]

I was buying today at very cheap prices and other where locking in losses
im only trading short term because i think we are due for a bounce very shortly

 

[theasxgorilla]

Re: Who is selling, who is buying - what is driving the market?

Trying to make money in short-term speculation is 100% no different than gambling, it's impossible to consitently guess right.

I agree about gambling...the principles are often the same which is why trading borrows many a concept from gambling. But people can and do consistently guess right. I'm certainly no short-term trading genius, but you wouldn't have needed to be one to know that you should not have been holding any long positions over the last week. If you were trying to fade this market then you got a lesson today. Hope it didn't hurt too much. If you were buying under the guise of 'value investing' then good luck and well done. You are privy to some information that I am not. Being contrary to panic selling just because it's emotional and doesn't make sense however, is seemingly quite dangerous given the sudden increased vigour of this decline.

It may be a while before market participants come to their senses and begin to care about 'value' and 'investing' versus, "I just want my friggin' money NOW, thank you".

ASX.G

 

[Doris]

I was buying today at very cheap prices and other where locking in losses
im only trading short term because i think we are due for a bounce very shortly

Deutsch bank guy last night suggested mid Feb bounce.

On 7:30 report tonight:
Japan and Hong Kong down 31% from Nov high. Aus down 23%... but US is only down 18%.

There would be a lot of nervous investors in the US looking at what happened in Europe and Asia whilst they holidayed... Mac bank guy suggested it would open down 5% then who knows.

 

[Buffettology]

Re: Who is selling, who is buying - what is driving the market?

I agree about gambling...the principles are often the same which is why trading borrows many a concept from gambling. But people can and do consistently guess right. I'm certainly no short-term trading genius, but you wouldn't have needed to be one to know that you should not have been holding any long positions over the last week. If you were trying to fade this market then you got a lesson today. Hope it didn't hurt too much. If you were buying under the guise of 'value investing' then good luck and well done. You are privy to some information that I am not. Being contrary to panic selling just because it's emotional and doesn't make sense however, is seemingly quite dangerous given the sudden increased vigour of this decline.

It may be a while before market participants come to their senses and begin to care about 'value' and 'investing' versus, "I just want my friggin' money NOW, thank you".

ASX.G

Good post!

 

[nioka]

Re: Who is selling, who is buying - what is driving the market?

I sold out of my final positions today; not out of panic, but out of logic. The market is going to continue to fall, simple as that. Maybe it will have a few rallies here & there, but I think it's almost safe to call a bear market.

Todays market has defied your logic of yesterday. I bought yesterday and sold today. I call it lemming profit. Even bought more than I meant to yesterday because I put in some low orders that I did not expect to get filled and was away for a little while. You win some and lose some. It is never "as simple as that". You may be right, it may be a bear market, why not go bear hunting.

 

[adobee]

I followed the herd.. i sold at the lowest point and re bought in when stocks went back up..

It defied the logic I work on but emotion got the better of me.. if only I could go back..

 

[Rocket man]

Supposedly most investors here have a long term view

So why isnt there more buying at these cheap prices ? Seems to be fear driving the mkt but IMO common sense should prevail not nervousness and irrationality. Eventually share prices will return to fair value. I dont think we will see another day like tuesday this year so good luck to all.

 

[numbercruncher]

Im convinced we will still see loads of volatility over the coming x amount of time, even the elusive chace of ARMageddon

But there was definately some value floating about to stick away with the long termers !

We live i Interesting times

 

[ROE]

Supposedly most investors here have a long term view

So why isnt there more buying at these cheap prices ? Seems to be fear driving the mkt but IMO common sense should prevail not nervousness and irrationality. Eventually share prices will return to fair value. I dont think we will see another day like tuesday this year so good luck to all.

Most people think long term but they trade short term could explain why

 

[Junior]

I'm a long term investor, haven't sold anything over the past 6 months. However the mistake I made was gearing up too high via a margin loan. I've had to throw all my cash at it over the past couple of weeks!

Lesson learnt: don't run your ML at 70% when the market is hitting record highs!!