You want to see what capitulation selling looks like? Take a look at any number of stock charts today. The blood is officially on the streets.
I don't normally do this, because it would be really boring if I did it everyday, but here are some very important statistics. Since September 1st, check this out:
- The SPY is down 31%.
- The Dow is down 26%.
- Crude oil is down 28%.
- The banking index is down 26% (despite a "government sponsored" rally in mid September).
- The QQQQ is down 33%.
- Also, the VIX touched 64.92 today. ANYTHING CAN HAPPEN.
I could go on, and on. Shit is bad, really bad. So bad, it doesn't feel like it's gonna end.
But it has to and it will.
I was looking for a sell-off to around these levels just a few days ago. If it weren't a Friday tomorrow, I could imagine gapping lower and finally rallying... however, who wants a gigantic rally just ahead of the weekend?
I can no longer tell... I don't feel confident at all in this market. It's quite possible that we have a piker rally tomorrow and then drop another 30% on Monday or Tuesday of next week. Don't think it can't happen. This is some historic shit. After witnessing, up close and personal, the massive sell-off into the close today, I definitely feel like we could see Dow 6,000.
However, the fact that I actually felt that today, means we're near the end.
The fear... is here... IN FORCE.
Really... it's just the way this game works.
I don't give advice on these matters, but I can say for sure that over the next couple of days, I'll be thinking hard about what I'm going to buy once I see that first BIG green VOLUME bar come into the e-minis on the upside. That's your tell... when you see that gigantic volume come in... don't trust any rally before you see that volume.
What I've learned recently, is that when the VIX is over 60, ANY FUCKING THING CAN HAPPEN TO YOU WHEN YOU'RE TRADING AND PROBABLY WILL. WORSE, NO ONE WILL CARE!!!
My sympathies to those who are getting creamed in their retirement accounts. I'd like you baby-boomers to take to the streets in Washington already... this shit is wrong.
Okay, enough of that. The RO, got very, very bloodied today in early trade. Some traders made it out of the mess, and some did not. I, for one, almost got my clock COMPLETELY cleaned only about 5 minutes from the close because I thought we had bottomed... we had not. Luckily, I recovered.
Out of 26 traders today, 15, or 57%, finished gross positive. The top 12 traders all made over $2,000 gross, however, the bottom 9 all lost over $1,000 gross. It was hectic. I was #9 of 26. Despite the ample bloodletting, the Bosses took control at the end of the day, and get top billing.
Here are the Bosses:
"Lucky Pierre" - Trader C, $69,778 on 499k shares traded.
2. Trader P, $61,885 on 223k shares traded.
3. Trader Z, $53,801 on 263k shares traded.
4. Trader D, $30,906 on 519k shares traded.
5. Trader B, $22,751 on 1.3 million shares traded.
And the Manservants:
"Chambermaid" - Trader A, -$59,999 on 422k shares traded.
2. Trader K, -$15,027 on 165k shares traded.
3. Trader E, -$13,146 on 94,600 shares traded.
4. Trader M, -$3,547 on 500 shares traded.
5. Trader 6, -$3,382 on 200 shares traded.
NOTE: I just want to extend my congratulations to "Trader C" for being Chambermaid yesterday and Lucky Pierre today. That boy is a sexual deviant.