|To: Sam who wrote (50700)||8/21/2011 8:30:33 AM|
|From: Ausdauer||Respond to of 55218|
|Bold to be publishing buy recommendations in this market milieu.|
As in any market correction, as people liquidate equity positions to raise cash, for whatever reason, the baby gets thrown out with the bathwater. We are in a period of extreme volatility, but no outright crash, IMHO. Market is receeding, not crashing. We have retreated, but not to pre-QE2 levels, not near a pain threshhold yet, like reaching a psychological break point such as breaching DOW 10,000, at which point panic selling, tripping of sell orders placed as safequards, liquidity issues related to margin accounts, shorting... will occur in rapid succession. Another -300 day for the DOW, should it occur, could be a catalyst for a full-scale sell-off / capitulation. 2008 is still fresh in the minds of many.