teddy Posted November 20, 2008 Report Share Posted November 20, 2008 Well the US markets just nosedived, all at new lows. Dow down to 7,552, S&P down to 752. Has the final capitulation started? I think this could be it. Link to comment Share on other sites More sharing options...
Tiger Moth Posted November 20, 2008 Author Report Share Posted November 20, 2008 Has the final capitulation started? I think this could be it. I understand capitulation but am unsure about "final". Someone will still own stock until 0 is reached. I agree there appears to be something of a capitulation going on. So, Dow Jones goes to x and S&P goes to y. Than what happens when the auto industry goes bankrupt? Market has to go even lower, correct? Not to pick on Warren Buffet, but, he has done a lot of buying in the last few months. Must be others who thought it was a good time to buy, must be some now who think its a good time to buy. It appears, with unemployment increasing, etc - things keep getting worse. Each time, some think its now a buying opportunity. Still, lots of room for things to get worse before Warren, et al to capitulate. In my other post, "How low will markets go....?", I voted for 70%, thinking the S&P could go to 500. Now down more than 50% in the last year. So, lots of room to fall before we get there. On a serious note, the situation is really terrible and many people are going to suffer greatly. Meanwhile, the wealthy and powerful, who have created this disaster, in general, will still be more than comfortable. Link to comment Share on other sites More sharing options...
teddy Posted November 20, 2008 Report Share Posted November 20, 2008 What I mean is the start of the down leg that finds the bottom. I have never thought over the past few months that the markets have found the bottom, but I think the time is near. I dont think we will see the DOW dip beneath the 7,000 mark and certainly not anywhere near the 5,000 mark as some have predicted. I may be wrong though and therefore I am not yet ready to put my money where my mouth is, so I shall sit this out a little while longer before getting back in. Link to comment Share on other sites More sharing options...
Faustian Posted November 21, 2008 Report Share Posted November 21, 2008 Dow down 5%, 2 days in a row. Still lots of bad news to come, like recession in the USA, which is suggested for 2009. I guess when things have settled it is time to get back in. The hysteria seems to be less, with an acceptance taking over. Some of the much talked about things never came to pass, such as the derivatives/hedge funds/credit card companies failing....but I guess there's still time? Certainly there's less talk about this now. Link to comment Share on other sites More sharing options...
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