Skip to comments.Will tomorrow be the day the Plunge Protection Team loses control of the Dow?
Posted on 08/25/2010 2:18:06 PM PDT by E. Pluribus Unum
They just barely managed to pump it up over 10,000 today.
10,000 is the psychological tipping point.
(Excerpt) Read more at finance.yahoo.com ...
“Is there really a Plunge Protection Team?”
What say you blam? ;-)
Except for the one detail that no one pays attention to the DOW other than retail investors. The S&P 500 is the barometer institutional players follow for a broad based index. The DOW is only 30 companies after all.
Where does one put retirement money?
If you aren’t certain and don’t follow the markets religiously I would stay in cash (and maybe some precious metals , especially junk silver by the bag) and wait (we’re talking years) for a deal in a stock related to some new technology or I would buy real estate. I have a farm in a foreign country , the entire country is pretty much “off the grid”.
Collectibles from the 1930’s are worth a fortune, and I would expect the same thing to happen again ,, it won’t help you but it might help your grandkids.. just as a few pieces of glassware that were bought at Woolworths in the 30’s will pay for a year of college today I would expect high quality but relatively inexpensive goods from the next 10 years will be collectible.. people collect things in their adult years that they couldn’t afford when they were young.. Just think of that $200 ‘64 GTO you didn’t buy in 1972 that became collectible....
What's "retirement money"? :)
20% in Insured annuities is what I tell my clients
That being said, the only way to influence any market is to buy or sell stuff in that market. Once a participant buys, the influence he has on market price diminishes rapidly as time goes by, unless he buys more. And keeps doing it. The market price is whatever price at which the last trade executed, even if it's only 1 share. So the PPT could buy 1 billion shares of IBM @ $100/share, but if the next trade (of only 1 share) is at $90, then they've wasted their money. And eventully they have to sell the shares they bought—driving down the price.
Long-term manipulation of the broad market can't be done. The sums of money involved could NOT be hidden.
In short-term T-bills, Swiss Francs, Australian dollars and gold. Right now, worry about the return OF your capital, not the return ON your capital.
I think a solidly negative (double dip) number, will trigger a selloff to 8000-8500.
I think it would then trail lower, except that the Dems will lose a majority in November. This won't lead to a rebound, but I think it will create a floor.
I've been out of the market (except for Gold) since July 2008. I think I'll start getting back in at around 8500 depending on market momentum.
Yep...PPT...Pick Pocket Team
I saw this the night and day after the 2008 election. Anyone with money or a business went Galt, laid people off and hunkered down. No one has any confidence unless they are a bankruptcy attorney or Obama govt union scum.
We saw yesterday how TV and the media can manipulate things with McCain winning. The public are drooling idiots who watch TV and ALL ALL of TV including Fox Saudia support The Imam and Islam.
The people own small and medium-sized businesses are not hiring anyone or doing anything until he is gone.
Post-UAW thuggery against bondholders - who would build a factory in America? Capitalists want private property rights to avoid having their capital stolen. We are like a third world country now in that area.
Plausible—regardless of how the next election turns out. It's also plausible that Prechter is right, and the Dow will bottom around 400!
That's based solely on analysis of the charts, by the way, not on political considerations. Caveat: Markets are probabilistic, not deterministic. Market analysis can tell you what the probability gradients are, but not what "must" happen.
That is my opinion as well, and why I didn't think Soros would throw away that much money just to prop up the market to make dems look better. The cost would be prohibitive in the long run, and very expensive in the short.
The sums of money involved could NOT be hidden.
so then people really are being stupid enough to buy in this market? It just seems people would look for better shelters and wait till the waters calm...which may be a couple of years at the rate the dems are going.
Hey - what are those HUGE volume spikes at the end of each day there? That has to be the PPT coming in with buy orders to stop any major drop.
PPT, protecting us from the ravages of plungers or from being ravaged by one.. or something.
Also, they moonlight as a rap band.
Often, “buying” is actually just bears covering (closing out) their short positions. Conversely, “selling” is often just bulls covering their long positions.
No. There is a Working Group on Financial Markets.
I have never seen anything like that. I know what I am looking at but never saw huge volume spikes at the close for 5 days in a row. Each day ends placidly or just moderately down (100 points or less on the Dow).
Volume has been pretty light lately.
If I saw a significant down day on significant volume I would worry more.
Exactly! Because every time it drops below 10,000, it always goes to zero. LOL!
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