Everyone Take A Big Breath

Listen, can I just say something here for a second?

It's gonna be okay.

The stock market can crash and you can lose all your money in it, but only YOU can lose your own perspective.

People are freaking out. But don't let that mob mentality, exacerbated by the idiots on the TV, get to you.

And I'm not just talking about the market. Let's get control of our emotions with these fucking politicians. They're all assholes. Democrats and Republicans.

Anyway, here's a song about perspective. The message is, "Nothing's gonna change my world." Remember, you're in charge... keep your emotions in check.

Nikkei Down 11% In Early Trade

It's not pretty.

Wilco, "Ashes Of American Flags"

Art Cashin, Trader's Edge, CNBC, October 9, 2008

Here's a link to Art's interview this morning. Needless to say, I agree with him almost 100%.

"We have several tough years ahead of us."

The RO Report, "The End Is Nigh" Edition

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.

PANIC!

Howard discusses panic, and you get a gratuitous midday song. Enjoy!

Bartiromo On Colbert

How'd I miss this one?

The View From 1987

Big hair, big nails, and big swings in the market.

One Positive To The Financial Crisis

Maybe less golfers? God I hate golfers...


Hilarious Astronaut Pranks Old Golfers - Watch more free videos

The Financial Crisis Explained

(h/t "Trader E")

Fleet Foxes, "He Didn't Understand"

No one sprayed the entire office, so, my choice.



QUESTION: What happened to Bluedog's blog?

The RO Report, "Lucky Pierre" Edition

I have not led an overly sheltered life, however, before today, I hadn't heard of a "Lucky Pierre." If you haven't noticed yet, the RO has a rather ribald sense of humor.

"Lucky Pierre" is the new name for the top trader in the office on any given day.

The "Chambermaid" is on the bottom, and "Lucky Pierre" is on top (and the bottom, I guess, but I'll let you figure that out.)

And while were on the topic of getting fucked, let's discuss the state of the market, shall we? All day long, people were talking of "bounces" and "bottoms" and shit like that. The big problem, from the get-go, was that the volume wasn't there.

After the morning rip, in which shorts covered, the volume dried up. Overall, the volume wasn't bad, however, when "the bottom" comes, I expect we'll trade 4 billion shares on the NYSE alone. That's the kind of volume we're gonna need to convince me that Fear and Greed had their epic battle.

Sure you can look at the VIX and say it's at all time highs, but who gives a fuck? Every day, it's at an all time high, it's breaking out! Who knows how high it could go? It's an historic move.

Anyway, the RO did well. Many traders made solid money, even if no one had completely crazy days. Out of 26 traders, 17 were gross positive, or 65%. 6 traders were up over $10,000 gross; very nice to see the wealth so spread out. I was #9 of 26, up nicely, but somewhat disappointed in my "mookishness." I made some great trades but with very small size.

The Bosses get top billing today.

"Lucky Pierre" - Trader B, $47,365 on 1.2 million shares traded.

2. Trader D, $41,834 on 563k shares traded.
3. Trader A, $17,088 on 403k shares traded.
4. Trader E, $11,858 on 210k shares traded.
5. Trader F, $11,645 on 313k shares traded.

And then there's the Manservants...

"Chambermaid" - Trader C, -$15,888 on 575k shares traded.

2. Trader I, -$1,817 on 40,400 shares traded.
3. Trader V, -$1,487 on 80,800 shares traded.
4. Trader M, -$1,485 on 100 shares traded.
5. Trader N, -$1,427 on 55,200 shares traded.

Tomorrow is Yom Kippur. I'm not even sure if it will effect volume though.

The State Of The Market?

National Debt Clock Broken

The Day Is Young

"The Fly" says the bottom is in, I'm not convinced. We're about 200 points from the morning lows, but also 200 points off our highs.

Either way, might as well get some perspective on.

Check these amazing photographs out... (h/t bloggerdotcom)

Coordinated 50BP Global Rate Cut

ROTFLMAO @ the market. More forestalling. They should have let the market open, get painful, and then announce the cut at 11am.

Do none of these central bank idiots understand market psychology? They can't get away from this thing without pain. Just ask Art Cashin.



FUCKING IDIOTS. Anyway, here it is reported in the Times.

Meh, perhaps I'm just bitter because I was all ready to toast marshmallows over the charred remains of my computer monitors (which would surely explode when the market crashed).

UPDATE! ROTFLMAO @ the Central Bankers. You can't jump ahead of market psychology... otherwise you get steamrolled.

Kudow: Still Employed, Still A Dick

Ah, remember life before it got all complicated?

Back in July of 2007 the market was rallying because people liked George Bush. (h/t Crooks And Liars)

Obama Wins Debate

Not even close... especially considering that McCain needed a better performance.

Department Of Eagles, "No One Does It Like You"

Since no one "sprayed" the office today by kicking the #2 trader's ass by 50% or more, and since I was green, it's my choice tonight. Sorry, Sanglucci.

The RO Report, "Chambermaid" Edition

Okay, so we broke the lows from yesterday on silly volume, and by "silly" I mean excessively light. The selling is so orderly that it's very scary. I reiterate what I said yesterday, we're gonna have to visit the sub 8500 level for a real washout to occur... perhaps lower.

Maybe the "Art Cashin scenario" will now be able to play out overnight. I have to say, I've been watching CNBC for 10 years (sigh) and every time we get to a market bottom, Art is always begging for capitulation. For real blood. The man wants pain.

As of yet, I don't think he's ever been satisfied. I wouldn't be surprised if Art visits the local BSDM club now and then... not that there's anything wrong with that. As you all know, Art Cashin is the only person worth listening to on CNBC.

So now we've closed on the low, we can hope for an overnight "market event" in Asia and Europe, we gap lower on the open, trade down for an hour or two, drop 1000 points, and then HUGE VOLUME comes in and we get a "V" bottom.

From your lips to Mother Market's ears, Art.

Anyway, the Manservants took it to the Bosses today. In fact, the Manservants were so "manservantly" that "Trader D" came up with a new term for the blog... "chambermaid." The "chambermaid" is the low man on the day.

Congrats to "Trader A" for being today's "chambermaid."

Truly, the "chambermaid" is on the bottom.

I'm sure soon we will have a new term for the "main boss" too.

Art Cashin would be impressed with the bloodletting in the RO today. Out of 27 traders, 15 were gross positve, or 55%. While 10 traders finished up $1,000 gross, 9 finished down $1,000 gross and as you'll see shortly, a few finished significantly lower. Happily for me, I was #6 of 27. I've nearly made back all my losses from my last bout of "manservantude."

Since the office as a whole was gross negative, the "manservants are on top.

Chambermaid - Trader A, -$29,361 on 397k shares.
2. Trader B, -$22,034 on 925k shares traded.
3. Trader H, -$19,667 on 14,600 shares traded.
4. Trader Z, -$9,411 on 393k shares traded.
5. Trader J, -$2,529 on 58,600 shares traded.

And the Bosses:

1. Trader C, $11,358 on 414k shares traded.
2. Trader E, $7,924 on 131k shares traded.
3. Trader D, $5,185 on 233k shares traded.
4. Trader L, $4,293 on 96,400 shares traded.
5. Trader K, $1,765 on 23,200 shares traded.

See you tomorrow. Don't forget to watch tonight's debate.