serious question for KOAJ and Walls

Question

you EVER seen the VIX "fear index" @ 48? I think this market could actually be set up for a "snap roll" reaction rally relatively soon. the selling in tech looked somewhat like "capitulation selling" where funds are trying to raise cash with whatever they still may have a profit in. &#xD;&#xA; &#xD;&#xA;and there IS some good news. NYMEX crude futures are down almost $11 and below $100 again. that&#x27;s GOOD for inflation and transportation.&#xD;&#xA; &#xD;&#xA;NOT saying a rally will happpen tomarrow BUT when ANYTHING gets THIS oversold it&#x27;s like stretching a rubber band.

LeRinkRat · Answer

you EVER seen the VIX "fear index" @ 48? I think this market could actually be set up for a "snap roll" reaction rally relatively soon. the selling in tech looked somewhat like "capitulation selling" where funds are trying to raise cash with whatever they still may have a profit in. &#xD;&#xA; &#xD;&#xA;and there IS some good news. NYMEX crude futures are down almost $11 and below $100 again. that&#x27;s GOOD for inflation and transportation.&#xD;&#xA; &#xD;&#xA;NOT saying a rally will happpen tomarrow BUT when ANYTHING gets THIS oversold it&#x27;s like stretching a rubber band.

KOAJ · Answer

no no no...never at 48above 30 used to be scary for me when i traded back in 02-03 and we had some days/weeks like that esp summer of 02 (S&amp;P at 850)rink want a crazy prediction? congress is closed tomorrow (holiday) djia finished in the green. no congress is good for wall street

wallstreetcappers · Answer

Rat,I think the VIX was higher after 9-11, but then that might be an intra-day high but 48 could be close no doubt about it.I was buying today, longer term funds of course but stocks are being sold at 1.5 times earnings which have less to do with this mess and are still getting clobbered.Stocks bouncing in after hours as they should but we could easily see under 10k this week..

KOAJ · Answer

TED spreadbe very afraid credit, commercial paper markets are both dry. normal businesses will have a tough time borrowing for normal day to day activities...and those are good, solvent businesses

wallstreetcappers · Answer

Cash is king, no doubt about it.Funny that even with this disaster there will be people who make bank off this a year out or so.Dip that foot in the pool, the world isnt ending and if it is the money you invest wont be worth a crap if lost anyway.

KOAJ · Answer

Dip that foot in the pool, the world isnt ending and if it is the money you invest wont be worth a crap if lost anyway.  ----mcd up $1 after hours

LeRinkRat · Answer

probably more pain just from margin calls near term BUT I agree with Walls. probably time to nibble esp at tech and alternate energy that aren&#x27;t complete bullshit.

LeRinkRat · Answer

one BIG question is IF the Hedge Hogs loan $$$ dries up, WHAT HAPPENS? those economic tax dodging CRIMINALS are all LEVERAGED out their ASS!!! &#xD;&#xA; &#xD;&#xA;betcha a bunch of the tech and commodity selling today came from THOSE assholes just like it came from the old "trusts" in 1929.

LeRinkRat · Answer

Geez, the VIX hit a high of 81.17 today (Thursday 10-16) &#xD;&#xA; &#xD;&#xA;and we all thought 48 was NUTS two weeks ago

wallstreetcappers · Answer

Rat,The markets arent acting normally, the VIX isnt very accurate when half the market is not playing.

LeRinkRat · Answer

I&#x27;m scared to say it because I don&#x27;t want to "throw the snake" BUT Thursday looked like a sucessful RETEST of last friday&#x27;s lows

serious question for KOAJ and Walls

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