posted on Aug, 9 2011 @ 06:50 PM
With the markets acting the way they are, it is tough to distinguish what is truly happening and what will happen.
Oh to be a fly on the wall at the SEC!
I have watched the intraday actions on the most active stocks within the DJIA, and have watched trades that seemed to suggest that there has been a
conglomeration of traders and investor's stops being triggered, fear selling (don't want another hit on the 401k) and some serious trades that
suggested large short positions (as much as I am opposed to short sells, it would be difficult to not get involved with these drops).
I also fear that a majority of these short positions will inevitably end up being uninvestegated "naked short sells" that will add hundreds of
millions shares into the company's float that will not be found and corrected until the stock price has hit well past it's 52 week lows. This usually
is the cause of unexplained and steep stock price drops like B of A just experienced.
I am, on one hand, happy to see that the preice per barrel of oil is below $80 now, but on the other hand, am a little on edge in thinking about how
high it will go now. A high quantity of large position closed out and ran with profits while new buyers entered into this new price range. These guys
buying here are not hoping for a loss, they are, of course, wanting mega profits. So I am kind of afraid that the price per barrel will go much higher
thatn the 52 week high.
This is all so confusing, but at the same time seems expertly orchestrated.
Time will tell friends!
edit on 9-8-2011 by azbowhunter because: (no reason given)