[Dark Horse]

Time to buy!

Big drop yesterday, only a day after a rate cut by the Fed. But 150 pts of that was in final hour. Knee jerking.

[Dark Horse]

Very positive job report. Much better than expected. Dow already up about 80 pts in pretrading.

[forex]

any of you trade fx or commodities?

[OldZig]

I buddy of mine has been trying to get me into commodities trading but I've been kind of lazy. If you guys are trading do you have any reading suggestions for a novice interested in the field?

[forex]

I buddy of mine has been trying to get me into commodities trading but I've been kind of lazy. If you guys are trading do you have any reading suggestions for a novice interested in the field?

if you are intersted in getting involved let me know, i know of a few good places to start.

[OldZig]

I'm definetly interested, whatta ya got? The people that I've talked to have said that 95% of the books out there giving advice are full of crap, so I would be interested in recommendations on solid starters.

[Dark Horse]

Good to see the market holding its ground. After the positive job report there was a lot of negative emotion on the trading floor, directed at the likes of Merrill Lynch, for creating (illegal) financial constructions that lack any and all transparency. Some even used the E-word (Enron).

Let's see how the two hours before the weekend trade. Still too much fear, in my opinion. People have become too reliant on the safety net provided by the Fed. That's now gone, at least for the time being.

I think the next two weeks will see the market rise. Got some Under Armour, which traded near its bottom. Earlier in the week UA went from 53 to 60 in 40 minutes during pretrading hours. Amazing stock!

[Pedro]

I think important to look at the stock market in more than just the index numbers.

Look at the US dollar in the last 3 weeks. Didn't it lose 3-4%?

That means that even if the stock market have not dropped, it would have still lost 3-4%.

In other words, look at the drop in USD, before cheering on the rising stock market...

Just my 2 cents.

Pedro

[forex]

shoot me an email at ebizman01@yahoo.com

[Dark Horse]

Pedro. You can short the market when it goes down. Ride the elevator both ways.

[Pedro]

I understand that one can short the market.

What I was trying to say is that the market may go up 5%, but that's meaningless if the USD drops 10% in the meantime...

Pedro

[Dark Horse]

Huge pressures on the market. Sky rocketing oil price, nose diving dollar, financials are taken a beating, and the credit crunch in the housing market is almost beyond comprehension. From here 2008 is not looking too pretty.

Looks like the weekend sell-off may be starting.

[Dark Horse]

I understand that one can short the market.

What I was trying to say is that the market may go up 5%, but that's meaningless if the USD drops 10% in the meantime...

Pedro

If you go to Europe, sure. In the US your dollar is worth what you can buy with it. Not what it's worth against other currency.

[Cyclone]

I have noticed that, even on "up" days, there are usually more new lows than new highs. That says to me that it's only a few leaders (such as Google) pushing the market up, and actually many of the lesser-known stocks are going down.

As for commodities, you can be right in the long term, but still get killed in the short term due to fluctuations.

I wonder if everyone has heard of the ProShares ETFs. You can buy funds that deliver twice the market gains. In other words, if the S&P is up 5 percent, the ETF goes up 10 percent. Likewise, you can buy something where if the S&P is down 5 percent, the ETF goes up 10 percent.

[HAPPY BOY]

right now Im not gonna move any more money into the dow. Think on the side of caution. Think joe public is spinning right now and can sway any way. Black friday (day after Turkey day) will be huge this year. alot of Bears see the sub prime and high fuel cost as a barometer for a bad xmas shopping season. Think Im gonna keep what I have in equities as is and keep my cash reserves on the sideline for now!

[Dark Horse]

I hear you. But the whole news story, good or bad, is always about the past. The next week it is something else. There's always room for action. Just have to pick your spots.

Plenty of fear in the market. Is that a bad thing? Fear makes people sell stuff cheap, which opens up buying opportunities. The only risk is that fear turning into total panic, but I don't see that happening. Not in 2007 at least. (Hope I'm right).