Monday, January 21, 2008
These are the Globex quotes as of the close of futures trading today. They are extremely negative numbers. The NQ lost close to 2% today and on the global markets the Indian markets were down over 11%. Cucca gives a great recap of today's implosion and I would be very, very cautious about taking any long positions until this thing settles out, as there are likely to be multiple head fakes along the descent into the abyss (before the recovery). The 42 number for the Qs that I mentioned Saturday may just be the jumping off point for the lower levels (like 36), so, again, EXTREME CAUTION is advised. Those little pop and drops from last week got some traders interested in holding overnight longs, looking to sell the near Open. I'm lucky that I wasn't one of them. My current strategy will focus only on daytrades. . .no positions will be held overnight until further notice. Actually, I'm inclined to sit this whole thing out for the next couple weeks and focus on some home repairs that I've been putting off. This is beginning to feel too much like watching a serious train wreck.