Wall Street Crash

Good Economic News from Japan Gave the Dow its Third Up Day

admin — Tue, 16 Aug 2011 02:38:24 +0000

The Dow was up 213 points today and has gained 763 over the past three business days. Experts are warning the volatility may be the norm from here on out. We are still down 9.8 percent from a high on July 21st. In a bear market you’ll see these up swings, so don’t get too excited investors are losing confidence in the market. That is a bad sign for things to come. Remember the 2008 Wall Street Crash? The down was up 779 points in two days in September, and had multiple single day gains between 485 and 1200+ points.

Today the news cycle belonged to Google as they bought Motorola. Investors and Tech Journalists are trying to sort out the reasoning and it looks like it has a lot to do with patents. The real question is what this will do with their partnerships with HTC and Samsung. And where does this leave Android? Is Windows Phone 7 a player now? What about RIM and Nokia? Is someone going to buy them?

Standard and Poor’s Rating Service Downgrades US Backed Debt

admin — Mon, 08 Aug 2011 18:18:39 +0000

Stocks have taken another hit today as we learned on Friday that the S&P Rating Service planned to downgrade the credit ratings of Fannie Mae, Freddie Mac, and any other debt that is backed by the US Government.

The US backed debt was downgraded from AAA to AA+.

This has caused the Stock Market to continue to fall. As I’m writing this the down is down almost 470 points and this puts us under the 11,000 mark. Let’s hope the holes are plugged before another Wall Street Crash.

Wall Street has Worst Day Since 2008 Crash – Dow Down 512 Points

admin — Fri, 05 Aug 2011 03:19:55 +0000

Looks like there is fear of another recession. The Dow Jones fell 512 Points today, and this was the 9th steepest points decline in history. This major sell off took away all the gains we had earlier in the year. The Dow as lost more than 1300 points since July 21st.

This is the biggest Wall Street Crash since October of 2008. Rather than calming down concerns, the debt deal seemed to do the opposite. Look for further losses in the coming days as traders look at the overall economy and job market.

Hindenburg Omen Creator Predicting Stock Market Crash in September 2010

admin — Sun, 15 Aug 2010 04:24:44 +0000

The founder of the Hindenburg Omen, James Miekka, says his model is showing that there could be a Wall Street Crash in September 2010. Ever since 1987 the indicator has been present during a stock market crash. Don’t freak out yet, because it doesn’t always ring true every time.

Here are the things that have to are required for the Omen:

1. 2.2 percent or higher of companies on the New York Stock Exchange had Highs

2. 2.2 percent or higher of companies on the New York Stock Exchange had Lows

3. The Moving Average of the New York Stock Exchange must be rising

4. A negative McClellan Oscillator at the same time

5. The new yearly highs can’t be twice the amount of new yearly lows.

We will see what happens next. I probably should have wrote this post yesterday on Friday the 13th.

Investment Ideas and Thoughts About April

admin — Sun, 08 Aug 2010 02:55:45 +0000

How quickly emotional think can turn from highs to lows. Year-to-date through April 23 (the stock market’s recent peak), the S&P 500 was up 9.2 percent, the S&P MidCap 400 had gained 16.9 percent and the S&P SmallCap 600 was up 18.6 percent (1*). But as if to remind us that some things are just too good to be true, the markets began to unravel as April came to a close. Now this October are we headed for another downfall?

The anti-business president’s pro-business recovery

admin — Sat, 07 Aug 2010 20:29:08 +0000

This White House has "vilified industries," complains the U.S. Chamber of Commerce. America is burdened with "an anti-business president," moans the Weekly Standard. - story on the Post

Query Corner: HDFC can test its life-time high

admin — Sat, 07 Aug 2010 19:04:12 +0000

What is the outlook for Bajaj Electricals for the next six to eight months? Bola Shaw Bajaj Electricals (Rs 260): Last time we had reviewed the stock was in February when we had suggested that investors with medium-term perspective could hold the stock as long as it traded above Rs 132. We had given the six-month target for the stock at Rs 204.

Is the Bonds Bubble Going to Bust?

admin — Sat, 07 Aug 2010 09:09:10 +0000

At the end of the dot-com stock boom in late 1999 and early 2000, it was harder and harder to find someone to say that buying into that mania was a mistake. There were plenty of Wall Street veterans who saw a catastrophe in the making. But many increasingly felt like idiots voicing that opinion publicly because they had been so wrong for so long. It's like the same thing with the current bond market. Are we headed down the same path. Government and Corporate backed bonds seem to be in vogue right now, and the cash flowing into them seems close to unstoppable. Click here for the rest of the article that inspired this post.

The major market indexes pared their losses by the close as bulls bounced back

admin — Fri, 06 Aug 2010 20:46:41 +0000

Stocks dropped dramatically today in the wake of a disappointing nonfarm payrolls report from the Labor Department, as traders were confronted with hard evidence of a frustratingly weak jobs market. In fact, the news seemed to be the final straw for analysts at Goldman Sachs, as the brokerage firm slashed its forecast for U.S. economic growth in 2011 and predicted "another round of unconventional monetary easing" from federal policymakers. The major market indexes all tumbled to heavy losses by midday -- but the bulls proved their resilience by switching into bargain-hunting mode in afternoon trading. As a result, stocks pared their losses into the close, and what could have been a catastrophic session wrapped up with remarkably unremarkable declines....( Read More )

Explaining Bizarre Robot Stock Trader Behavior

admin — Fri, 06 Aug 2010 18:30:00 +0000

Leading financial scholars evaluate the evidence of bizarre robot behavior in the markets Algorithmic trading - rest of the story on the atlantic