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VIDEOOut of the Frying Pan and Into the Fire?
It seems the only uniformity is the trend for panic buying days and panic selling days to go tit for tat. So does that mean Friday will give us another panic selling day?
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Yesterday was a 90% Upside Day, the 13th such so-called panic-buying day since the April 26 high.
Remember, just days off that high came the flash crash. Does anyone talk about that anymore? Does anyone address what happened that day or is it resigned to the dustbin of just another statistic in market lore?
Thing is, that was the largest point drop ever in one day. And, it came right off a top. What kind of markets do that? Who are these guys, Sundance?
Trouble is that while the first trading day of the new month was the 13th panic-buying day since the April high, there have been 14 panic-selling days since the April high.
Who can keep track?
It seems the only uniformity, the only trend in the market, is the trend for panic-buying days and panic-selling days to go tit for tat. To match each other.
So does that mean Friday will give us another panic-selling day? On the heels of widely anticipated employment data, will the elephant in the living room that's sitting on the end of the sofa with us get up, abruptly catapulting all of us sitting on the other end out the window?
Someone remind him to take the remote with him on his way out.
This is clearly a market that acts as if it's being remotely controlled by someone with big footprints, stampeding price from one side of the house to the other.
Monday was a 90% panic-sell day, on the heels of Friday’s 90% panic-buying day.
Three out of the last four sessions have been 90% days.
This kind of volatility is a market in disarray. It's not a sign of a healthy market.
Volatility often precedes significant moves.
Couple this with six Hindenburg Omens since August 12, and it's unprecedented action.
The word "panic" derives from the Greek, pertaining to the shepherd god, Pan, because he could scare herds to sudden and seemingly senseless mass exodus.
Risk runs high when frenzy runs deep.
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