This day will be talked about for years to come and the individual who hit the wrong button (B for billion instead of M for million) to sell billions instead of millions will have a tough time finding another job... Maybe this person can do commercials for Microsoft Windows showing how one simple key stroke can crash a system... lol
On a more serious note, a member in the chat room had a good point... Who would create a program that can not only bankrupt the company in one key stroke but also crash the entire broad market in 10 minutes losing millions of investor's hard earned money??
I will keep this short with my Cole Notes Version on a few opinions of mine.
Banks - Good for taking your money and crashing the markets
All we have heard about in the past year is bank this, and bank that.... They take our money, bet on crazy investments, lose it, then get free money from the Feds to replace that lost money and they keep it for them selves....
Well today the market crashed because of a bank which should not be a surprise after everything else they have messed up. But to add more to the fire I had a lot of subscribers and followers today tell me they tried to trade with their brokers and they could not get orders to be executed. When I asked these individuals who they are using I got the same response... They were trading through a bank... like TDWaterhouse and many others... This really makes my upset as I hate watching the bad guys (banks) keep winning/taking everyone's money.....
Stock Market Circuit Breakers Failed
I find it amazing how the financial system has circuit breakers to protect investors from a market crash yet today they did not get triggered...
Rule is (and dumb one in my opinion) is that a circuit breaker (halts trading on the stock market for a set period of time) can only be triggered before 2:30pm ET. Funny thing is that the crash happened 7 minutes after 2:30. Manipulation???
2-3 Week Market Correction, Corrected in One Day
A pullback in the broad market which normally would have taken a few weeks at the most happened in one afternoon which is amazing really. Don't get me wrong, I thought what happen today was very interesting, profitable and a lot of fun. But a move this drastic does throw a wrench into everyone technical analysis and it will be a few days before we get enough price action to start piecing this market back together for what looks most likely to unfold in the coming days and weeks.
Gold & US Dollar Rally Together
The past 2 weeks we have seen gold and the dollar move up together. This is very strong for gold. Even if we see the dollar roll over and head south that would help boost the price of gold... The short term charts for gold are looking tired be sure to watch the video below.
Market Video on Today's Price Action and what's Next
End of week Trading Conclusion:
This week was a crazy one with gold and the dollar moving higher together and the stock market crashing over 9% in one day...
It will take a few days for all this extreme price action to smooth out as we try and grasp if this is a bottom or the beginning of a major meltdown.
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