Stock Market - 11/19/08

[DavidS]

Bloodbath today...

Down 427 to 7997.34. This is close to the "Hogan bottom" the bottom of the stock market that Art Hogan predicted. He doesn't believe stocks will go lower than 7750.

 

[Care4all]

Have we dropped as a percentage as much as we did during the great depression's crash yet or more? I don't know....

 

[Toro]

I thought we were bottoming a week ago but we've dropped 20% in two weeks.

I think we're going to crash lower over the next few days followed by an extremely sharp rebound.

 

[Isolde]

The markets don't know wtf the government is up to or what it will do next. Will we allow ourselves to go through a recession and let the markets self correct or will government continue to intervene? Seems like we could use a brilliant man to step up and articulate his vision for the future.

 

[AVG-JOE]

The markets don't know wtf the government is up to or what it will do next. Will we allow ourselves to go through a recession and let the markets self correct or will government continue to intervene? Seems like we could use a brilliant man to step up and articulate his vision for the future.

That is the key: uncertainty over government spending is causing folks to bail. This is going way beyond a price correction in corporate values... lots of good companies are cheap.

Microsoft at $18.30, A T & T at $25.25, Costco at $45.25... These look like blue-light specials to me.

If uncertainty rules until the end of January there are going to be smokin' deals on some quality, dividend paying stocks.

-Joe

 

[DavidS]

I thought we were bottoming a week ago but we've dropped 20% in two weeks.

I think we're going to crash lower over the next few days followed by an extremely sharp rebound.

Remember when we hit 7990 last week and there was a massive spike in stocks? That didn't happen today. If it doesn't happen tomorrow there are few, if any buy orders at 7900. Which is bad new if you own stock.