The DOW Drops Below 10,000

It was only a matter of time that the Dow would drop below 10,000 points. Shortly after 10:00 this morning the DOW officially fell below 10,000 level. To make matters worse, it’s getting to the point that traders on the floor aren’t even trader between each other. By the afternoon trading, the only participants are the sellers. The confidence in the markets are non-existent.
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The markets have entered the same levels that we were at in 1998-1999. If you were in a IRA or 401K for the last ten years, you’ve gained nothing for all that time (please don’t shoot the messenger).
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Hedge funds are selling their interest to save any capitol they can. I’m sure there will be a lot of hedge funds that will close their doors after this horrible week. They are running around trying to save whatever assets they can. The markets are oversold and doesn’t seem like many people are jumping back in, which tells me that it just going to get worse. The short-selling ban is suppose to be lifted this week, but it’s still may be extended. If it expires, the markets will drop much more.
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No one is safe from this recession that we’re entering and I don’t see an end to it soon. Every sector has taken the hit today, there are a few winning today but they are far from being big. If anything is to be the silver lining, it’s oil that finally fell below $90. Who knows where it will go from here, but I won’t even try to guess.
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I will say that we need to continue to sell into any rally and preserve capitol as best as possible. if you hedge your investments with shorting then you obviously know what you’re doing. I’m going to wait a little and see what will happens.

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