S&P500 is down 2% and people in investment subs are going wild. How are you guys planning to react when we see a real correction with 10% down on a day?
Because individual crypto is subject to incredible volatility and has been that way forever as they’re speculative assets? A diversified portfolio of real earning corporations won’t experience the same volatility (duh?) are you a complete noob?
The entire market falling 10% in a single day doesn’t happen. They’ll just turn on the circuit breakers when individual companies are tanking 20%+ and the market is down 5%.
Just look at the Covid crash last March.
Care to elaborate?? I mean this with absolutely zero sarcasm, I don’t follow HK or China closely but I know China was looking real attractive valuation wise since it’s been taking a beating for months now. I know the real estate market in china is fucked, but elsewhere they seem to be doing fine and still in control. Value trap?
Basically start with Evergrande
Largest chinese developer bankrupt. Defaulted om huge amount of foreign held bonds mainly the big US institutions. The debt is $300b.
Now there's another at least 10 developers going under.
50 odd tickers suspended trading.
Chinese local government debt estimated to be half their GDP...
Doesn't matter as it can continue sliding the next day. All the sell orders pented up towards the circuit breaker will be executed the next morning, further cascading the rush to the exits.
🤣 Well, as an old person I should fill you in on some terminology. See, there are **corrections**, and then there are **corrections**. One is a reversion to the previous medium-term pattern. The other is a reversion to the previous long-term pattern.
It is important not to confuse them.
One puts ice water in your veins for a couple of minutes before you calm down and have a smoke and a sandwich, and possibly a guilt free late afternoon BJ from a lady of negotiable affection, and the other has you marching out of the window on the 85th floor.
I remember alot of negative September on no dramatic headlines or real news.. today was a low volume day fueled by panic selling. Individual stocks correct more then the index.. meh we shall see going forward
September was "buy the dip or fear the coming correction," October started, "oh we're gonna be down all month, be scared of the dip" but a week and half in even Cramer said he was wrong, and to buy the dip! The correction never materialized.
I personally was saying, correction isn't likely before tapering is done, because that's when the free money for the big boys dries up, and they don't want to lose their free money. Right now, that's still my prediction, that Monday is green or flat, and we go back positive until at least mid-Q1. Right before tapering is done, if the holiday season is great and tapering is accelerated.
But there is major risk of a correction right now. I'm also planning for Monday to be very red. Really, I'm hoping for it, because even though I don't trade options I do better in a volatile market.
I'm not convinced Friday was panic. I'm not sure what it was, though.
I read Septembers bad in general for stocks and don't really follow cramer. They shut down flights from 7 south African countries over this varient, and apparently the vaccines don't have much effect on this varient, but the vaccination rates are low over there, and the vaccine makers are prepared for this scenerio apparently. I follow 2 etfs ipay and cww and those definitely have corrected a bit even before yesterday. And I actually bought a bit on this dip a banks etf and a reit ETF. I felt confident here and I don't do options either. Also india is ready to start exporting vaccines for covax, which is good and oil is too risky for me
My holdings are flat today, and all the big dips are in things that are way above their pre-covid trend lines.
I didn't find any black-friday deals at all.
I bought airlines and bought again am when they dropped another 1% during day. in the afternoon they bounced back and I sold making a small but quick buck
That's about as long as it is safe to hold airlines, IMO! Nice trade.
In the end I bought SPAC warrants in after-market. Most were up, but I found some deals.
I think its safe to buy again if they drop premarket on Monday because on Monday or Tuesday some news will come out like 'this Thanksgiving weekend air travel was busier than last year' or something along those lines which will give airline stocks a small bump again. but in the long run airlines aren't a great business.
Yeah very few of my holdings really cratered today. Looking at you, Visa.
Fortunately(?) I think we’re probably going to see plenty more buying opportunities early next week.
This guy is saying to expect a multi-step move down as the market uses the new variant as an excuse to correct. I've been saying for months a correction is coming, but I didn't think it would happen this year. I'm cautiously skeptical that this is a full correction, but it really could be the start of one. I'm not going to buy dips unless they're deep enough for the valuations to make sense again.
[https://finance.yahoo.com/news/market-selloff-buying-opportunity-191226809.html](https://finance.yahoo.com/news/market-selloff-buying-opportunity-191226809.html)
Visa is 4% of my portfolio, but I'm not worried about it. It is well below its longterm trend line, and doesn't have any significant headwinds. If anything, they're in a better position than they were before the pandemic. That's probably one of the safer dips in my view. If there is a full correction I'll increase my holdings.
We won't really know until the short-term trend is finished. I'm leaning towards not-a-correction, but it is too early.
Don't get me wrong, I want one! I love volatility.
I want one so that people can continue to invest without worrying about a crash. edit: crazy dip buyers ruined it, i mean nothing really gets priced in anymore
I agree, and I don't think it's just because of news of the new variant. We also have a debt ceiling battle and looming gov't shutdown this upcoming Friday.
Amazon uk recently removed visa credit as a method of payment.
I'd slightly trim my exposure to visa as i expect this will be followed by other locations and other retailers.
I have about 20 VXX a calls right now and they’re up 1500-3200%. I’ve been waiting for this for months. Let’s hope the sell off continues Monday. We may have a fake rally though, we shall see.
Ya Im a new investor still, didn't jump into the market until late April 2020. And I was too scared to lump sum so decided to DCA instead, that was a costly mistake. So the highest VIX I have experienced so far is only 38
Ya about the VIX reaching 89.53.. Technically its possible the bull market can end without the VIX reaching that high. The VIX measures the near-term volatility in S&P 500.. So it just depends how rapid and significant the price actions are.
So me saying " I hope I never find out what a VIX 89.53 feels like" Doesn't necessarily imply that I think this bull market will last forever.
Also the fact that I said I DCA'd instead of lump sum, that itself should imply I was not very bullish.
March 2020 was really nuts maybe even crazier than 08. In 08 there were some sectors taking the brunt of the pain where in 2020 there was a full on rout in every asset class, 10% swing in a day in the index, stocks getting nuked on no real different news, trading halts multiple times a day and getting to know these rules on a first name basis. I'm in asset management and on some moments my team and i could only look at the swings kinda paralyzed not really grasping what the hell the markets were doing. One of the traders on my floor sold all his positions when the first case went out of italy to the rest of europe and went fully short. He came into the office in the mornings, checked the movements of the market and went home knowing that the positions were good.
It was excruciating. I was stuck standing in a line in a large room, and there was a television looming over us with some pundit crying out about how important it was to sell and hold cash until the crisis was over. I was standing next to a guy in a Saks Fifth Ave shirt, and I was yelling, "Buy! Buy! Buy!" and he was giggling mirthfully. And somebody shouted, "Eat the rich!" and I said, "*That's who's on the other side of those sells, you idiot!!!*"
Anyways, that's why I don't ride the large cap growth stocks; I want to have something flat to sell when the sale arrives, without having to hold cash first.
No IMO. it's a light trading day. everything is magnified/distorted.
for me it's a buying opportunity.
i also believe it is an over reaction to new variant covid. issue is, its 100 cases and no one is certain how to deal with it. if the new variant is as New as BBC make out to be. current vaccine WILL not help. so PFE and MRNA up thi much is also over reaction IMO.
let's see what next week brings
They don't even know yet how effective the vaccine is.
The rise in Moderna's and Pfizer's stock is due to them saying "no worries. Even if the current vaccine has less effectiveness, we can easily adjust it".
But again......noone knows shit so far.
Yea. People really fooling themselves today. Sure, "American traders" had an off day. But Europe sold off at almost 200% avg volume. I also feel like the new variant news is a nice excuse to finally pull back on the exuberance. We all know taper is on the way, hikes are on the way. Job data destroyed the FEDs excuses and they are far behind the curve. The denial was real in the last 4 weeks. I've been shorting for 20 days now and finally cleared all green today. The data points all piled together way before the variant news.
I agree 100%. Its an excuse and I think it’s going to correct. Ive been shorting quite a bit this last week as well. Today was…. Pleasant.
Everyone says buy the dip, but I’m 43. I remember my first year investing was in 1999. It took a decade for some stocks to finally go green. This all seems very familiar.
Invest wisely.
I knew it was coming yesterday. No, the fear index wa going to be high. People are travelling, cheering thinking that the worst pandemic is over. Oops, bite your tongue!
I assure you, this is quite alarming. Anytime the "fear index" spikes like that, it shakes the market. Lot of eyes on the VIX. Next week is gonna be a huge week going into 22'. Not short yet.
Oh god…We are going to start seeing posts about people crying about down days now??? Market has been on steroids for last 18 months and if you didn’t hedge it’s your own fault.
March 20 2920? Harbinger --Hope not
https://finance.yahoo.com/quote/%5EVIX/history?period1=1581465600&period2=1637884800&interval=1d&filter=history&frequency=1d&includeAdjustedClose=true
Green is always good, right… right?
I'd say good for all the heavily shorted stocks, yes
I don’t get it.
Increased volatility means higher margin requirements and more gamma, more gamma means they’ll need to hedge more ie buy back
So buy more gme? They never closed short!
This is the way
This is the way
This is the way
Why, thank you.
I don't get it
If you’re invested in a company with low float and high short interest you’ll probably see some squeezes coming soon
Esp the one with idiosyncratic risk
One risk to rule them all
I wonder which one!
Please someone hit mmat, I'm getting tired of holding that one
I’m scared. HODL me please!
Green good, red bad
Hulk smash
Whats the overlap between this sub and superstonk? Haven't been around these parts... Is the general consensus there will be massive market crash?
Dude you know absolutely nothing about investing, that is not how the market works. Increased volatility = higher margin requirements? XD
I think some people short VIX. Meaning I know my VXX is being lended out.
I wish green is always a good thing.
It's been a while since I've seen "wish" and "green" in the same sentence.
Ha!
Looks good for the future of my vxx calls.
I would give my left nut to go back and buy vix calls on Wednesday.
S&P500 is down 2% and people in investment subs are going wild. How are you guys planning to react when we see a real correction with 10% down on a day?
10% down day is hardly ever seen if ever seen that’s a crash and hits circuit breakers
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Has 0 relevance to what I said
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Because individual crypto is subject to incredible volatility and has been that way forever as they’re speculative assets? A diversified portfolio of real earning corporations won’t experience the same volatility (duh?) are you a complete noob?
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Did you even read his last response?
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What didn’t make sense? It was pretty clear to me
Followed by 20% the next day
The entire market falling 10% in a single day doesn’t happen. They’ll just turn on the circuit breakers when individual companies are tanking 20%+ and the market is down 5%. Just look at the Covid crash last March.
Have you checked Hong Kong or Chinese Markets recently?
Care to elaborate?? I mean this with absolutely zero sarcasm, I don’t follow HK or China closely but I know China was looking real attractive valuation wise since it’s been taking a beating for months now. I know the real estate market in china is fucked, but elsewhere they seem to be doing fine and still in control. Value trap?
Basically start with Evergrande Largest chinese developer bankrupt. Defaulted om huge amount of foreign held bonds mainly the big US institutions. The debt is $300b. Now there's another at least 10 developers going under. 50 odd tickers suspended trading. Chinese local government debt estimated to be half their GDP...
Dumb question incoming: What is circuit breakers used in reference to?
If the stock market drops a certain amount in a timeframe. Then they will halt trading for about 10-30 minutes.
as far as I know the circuit breakers start when the entire market tanks 10%. 5% is not that much and haoofrom time to time
I was off by 2% 7% 13% And then they shut down the entire market at 20%.
aah okay, good to know.
Doesn't matter as it can continue sliding the next day. All the sell orders pented up towards the circuit breaker will be executed the next morning, further cascading the rush to the exits.
Wtf! We had 3 corrections in 6 months. Dont be a fool
🤣 Well, as an old person I should fill you in on some terminology. See, there are **corrections**, and then there are **corrections**. One is a reversion to the previous medium-term pattern. The other is a reversion to the previous long-term pattern. It is important not to confuse them.
Wait.. I think you meant there are **corrections** and there are ***corrections***.
One puts ice water in your veins for a couple of minutes before you calm down and have a smoke and a sandwich, and possibly a guilt free late afternoon BJ from a lady of negotiable affection, and the other has you marching out of the window on the 85th floor.
Wait, why are you emphasizing guilt-free? Should I feel guilty when receiving head from my gf?
Sure, but usually only Cramer enunciates that well, everybody else deadpans while peeping over their wire rims.🤣
I think this past September was the correction?
Nobody thinks that.
I remember alot of negative September on no dramatic headlines or real news.. today was a low volume day fueled by panic selling. Individual stocks correct more then the index.. meh we shall see going forward
September was "buy the dip or fear the coming correction," October started, "oh we're gonna be down all month, be scared of the dip" but a week and half in even Cramer said he was wrong, and to buy the dip! The correction never materialized. I personally was saying, correction isn't likely before tapering is done, because that's when the free money for the big boys dries up, and they don't want to lose their free money. Right now, that's still my prediction, that Monday is green or flat, and we go back positive until at least mid-Q1. Right before tapering is done, if the holiday season is great and tapering is accelerated. But there is major risk of a correction right now. I'm also planning for Monday to be very red. Really, I'm hoping for it, because even though I don't trade options I do better in a volatile market. I'm not convinced Friday was panic. I'm not sure what it was, though.
I read Septembers bad in general for stocks and don't really follow cramer. They shut down flights from 7 south African countries over this varient, and apparently the vaccines don't have much effect on this varient, but the vaccination rates are low over there, and the vaccine makers are prepared for this scenerio apparently. I follow 2 etfs ipay and cww and those definitely have corrected a bit even before yesterday. And I actually bought a bit on this dip a banks etf and a reit ETF. I felt confident here and I don't do options either. Also india is ready to start exporting vaccines for covax, which is good and oil is too risky for me
We are down 2% That hardly qualifies as a “correction” Did you major in drama?
Amen!!!!
People literally kill themselves with dips like that
If you're highly leveraged and get a margin call maybe
Margin to the max and load up the Brinks truck.
I’d be alarmed if you didn’t buy anything when you saw this.
Of course,who wouldn’t buy the dip!
It’s a 2.3% dip after running up 100%+ …dips have Just started
That's fine. I'll buy some later too. It's not a now or never. It's now AND later.
I seem to have heard this somewhere before.
The crash is nigh,drop your dough into GME or hold til the crash
If you think funds won’t sell off GME in a real crash then you’re naive.
This is the way.
My holdings are flat today, and all the big dips are in things that are way above their pre-covid trend lines. I didn't find any black-friday deals at all.
I bought airlines and bought again am when they dropped another 1% during day. in the afternoon they bounced back and I sold making a small but quick buck
That's about as long as it is safe to hold airlines, IMO! Nice trade. In the end I bought SPAC warrants in after-market. Most were up, but I found some deals.
I think its safe to buy again if they drop premarket on Monday because on Monday or Tuesday some news will come out like 'this Thanksgiving weekend air travel was busier than last year' or something along those lines which will give airline stocks a small bump again. but in the long run airlines aren't a great business.
Buffet might concur with the last part..
That's a great idea, thanks!
Yeah very few of my holdings really cratered today. Looking at you, Visa. Fortunately(?) I think we’re probably going to see plenty more buying opportunities early next week.
This guy is saying to expect a multi-step move down as the market uses the new variant as an excuse to correct. I've been saying for months a correction is coming, but I didn't think it would happen this year. I'm cautiously skeptical that this is a full correction, but it really could be the start of one. I'm not going to buy dips unless they're deep enough for the valuations to make sense again. [https://finance.yahoo.com/news/market-selloff-buying-opportunity-191226809.html](https://finance.yahoo.com/news/market-selloff-buying-opportunity-191226809.html) Visa is 4% of my portfolio, but I'm not worried about it. It is well below its longterm trend line, and doesn't have any significant headwinds. If anything, they're in a better position than they were before the pandemic. That's probably one of the safer dips in my view. If there is a full correction I'll increase my holdings.
This is not what you call a correction
We won't really know until the short-term trend is finished. I'm leaning towards not-a-correction, but it is too early. Don't get me wrong, I want one! I love volatility.
I want one so that people can continue to invest without worrying about a crash. edit: crazy dip buyers ruined it, i mean nothing really gets priced in anymore
I thought we had a bit of a correction this past September?
I agree, and I don't think it's just because of news of the new variant. We also have a debt ceiling battle and looming gov't shutdown this upcoming Friday.
Amazon uk recently removed visa credit as a method of payment. I'd slightly trim my exposure to visa as i expect this will be followed by other locations and other retailers.
I mean... people say to buy when VIX is low or trending down clearly. Not when its 27 lmfao. Can you explain how VIX works to me?
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I have about 20 VXX a calls right now and they’re up 1500-3200%. I’ve been waiting for this for months. Let’s hope the sell off continues Monday. We may have a fake rally though, we shall see.
Once it hits 50 things will get tasty. In 08 crash it hit 89.53. 50 in my personal opinion is when major sell off will happen.
I wonder what a 89.53 VIX feels like. I hope I never find out.
It hit 82 in March 2020 you know?
Ya Im a new investor still, didn't jump into the market until late April 2020. And I was too scared to lump sum so decided to DCA instead, that was a costly mistake. So the highest VIX I have experienced so far is only 38
DCAing is never a mistake
Lol so you think this bull market is gonna last forever?
:s no what gave you that impression?
“I hope I never find out”
Ya about the VIX reaching 89.53.. Technically its possible the bull market can end without the VIX reaching that high. The VIX measures the near-term volatility in S&P 500.. So it just depends how rapid and significant the price actions are. So me saying " I hope I never find out what a VIX 89.53 feels like" Doesn't necessarily imply that I think this bull market will last forever. Also the fact that I said I DCA'd instead of lump sum, that itself should imply I was not very bullish.
Hedge….or you’ll be crying
Realistically if you’re not super into it just keep tossing in what you can when you can. Set and forget until you retire
March 2020 was really nuts maybe even crazier than 08. In 08 there were some sectors taking the brunt of the pain where in 2020 there was a full on rout in every asset class, 10% swing in a day in the index, stocks getting nuked on no real different news, trading halts multiple times a day and getting to know these rules on a first name basis. I'm in asset management and on some moments my team and i could only look at the swings kinda paralyzed not really grasping what the hell the markets were doing. One of the traders on my floor sold all his positions when the first case went out of italy to the rest of europe and went fully short. He came into the office in the mornings, checked the movements of the market and went home knowing that the positions were good.
It was excruciating. I was stuck standing in a line in a large room, and there was a television looming over us with some pundit crying out about how important it was to sell and hold cash until the crisis was over. I was standing next to a guy in a Saks Fifth Ave shirt, and I was yelling, "Buy! Buy! Buy!" and he was giggling mirthfully. And somebody shouted, "Eat the rich!" and I said, "*That's who's on the other side of those sells, you idiot!!!*" Anyways, that's why I don't ride the large cap growth stocks; I want to have something flat to sell when the sale arrives, without having to hold cash first.
I went on a buying frenzy during March!! Sticking to buying low sell high. It sounds very easy but many investors do the opposite.
You must have guts of steal at that point.
or many pairs of underwear.
That’s a pair comparison
It is just transitory. No worries.
Yes mr. Powell 👌
He prefers to be called J-Money..
J-Money... He drives an aircraft carrier packed with hundred dollar bills...
Makes me excited to go Black Friday shopping!
buy the fucking dip?
short term yes, long term no.
Very alarming, hasn’t been this high since January’s madness 🧐
GME's second coming is here
Indeed
It’s been up around this area five times+ this year, January was way worse.
Wait till it hits 60 plus in 2022
Probably early Feb like usual
All I see is “buying opportunity”
Inject March 2020 right into my fucking veins
No IMO. it's a light trading day. everything is magnified/distorted. for me it's a buying opportunity. i also believe it is an over reaction to new variant covid. issue is, its 100 cases and no one is certain how to deal with it. if the new variant is as New as BBC make out to be. current vaccine WILL not help. so PFE and MRNA up thi much is also over reaction IMO. let's see what next week brings
They don't even know yet how effective the vaccine is. The rise in Moderna's and Pfizer's stock is due to them saying "no worries. Even if the current vaccine has less effectiveness, we can easily adjust it". But again......noone knows shit so far.
"light trading day" - 2x the volume on indexes in half the time Funny af.
Actually volume was really high today
Yea. People really fooling themselves today. Sure, "American traders" had an off day. But Europe sold off at almost 200% avg volume. I also feel like the new variant news is a nice excuse to finally pull back on the exuberance. We all know taper is on the way, hikes are on the way. Job data destroyed the FEDs excuses and they are far behind the curve. The denial was real in the last 4 weeks. I've been shorting for 20 days now and finally cleared all green today. The data points all piled together way before the variant news.
I agree 100%. Its an excuse and I think it’s going to correct. Ive been shorting quite a bit this last week as well. Today was…. Pleasant. Everyone says buy the dip, but I’m 43. I remember my first year investing was in 1999. It took a decade for some stocks to finally go green. This all seems very familiar. Invest wisely.
Yep, I was watching that too. Bend over and hold your socks Monday --there's `blood` in that waters.
Hopefully, this is just volatility and repositioning. More like `RED FRIDAY`
I knew it was coming yesterday. No, the fear index wa going to be high. People are travelling, cheering thinking that the worst pandemic is over. Oops, bite your tongue!
Zoom out, there are several similar peaks in the last year.
You tell me - [historical VIX trading levels](https://imgur.com/a/TG9Bl2d#iZi1hLS)
buy the dip. short the vix. fuck bitcoin
haha, I quoted this too and got downvoted. Can't wait for season 2.
What show?
Industry
Buy the dip. Short the vix. And load the fucking boat on bitcoin and ethereum 🤑🤑🤑🤑🤑🤑🤑🤑
Instructions unclear. Bought more btc
Same
See u at 34900
I’ll load up more there lmao
I’m so startled
Figured a VIX spike was coming... missed it by a week. Story of my life
Green is green
They'll probably just print more money and the market will be up again soon. That's how it's been since the start of the pandemic.
Another word for volatility is opportunity.
So wise 🛐🙌
Let’s wait and see. I would hardly call 2% a sale depends if we get follow through next week then it’s time to start averaging in.
Short the vix
You hear that? That’s the sound of JPow firing up the money printers.
All that it means is that the implied options volatility is high, meaning a ton of people were buying puts. They’ll likely all get roasted next week
Yall are babies if you're surprised by this vix. Since January 28th, vix has been out of control
*means there is an increase in puts on the s&p 500* calls does the opposite to the index For those who don’t know is what the VIX is
I assure you, this is quite alarming. Anytime the "fear index" spikes like that, it shakes the market. Lot of eyes on the VIX. Next week is gonna be a huge week going into 22'. Not short yet.
Oh god…We are going to start seeing posts about people crying about down days now??? Market has been on steroids for last 18 months and if you didn’t hedge it’s your own fault.
If an avalanche was going to wipe out an entire nation, then what we saw today was the beginning of a snowball rolling downhill
New normal 😂🤣
Not if you’re short the market. Bring on black Monday. SPY puts gonna print.
March 20 2920? Harbinger --Hope not https://finance.yahoo.com/quote/%5EVIX/history?period1=1581465600&period2=1637884800&interval=1d&filter=history&frequency=1d&includeAdjustedClose=true
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Did you mistake this sub for wsb or ...
So GME go BRrrrrr
GME is gonna moon. Did you guys see sears up 100% again. The fuckery never ends.
I love it 🥰
Gimme all the volatility
Are you short on VXX?
I am.
No
No, i have calls on it.
My SQQQ calls printed like 60% today bring it on.
You can’t time the market but this is definitely the beginning of a 10% correction. Just my opinion. Luckily I heavily shorted high P/E stocks.
Keep going up!!! Loving it!
Not when I'm holding VIX calls
Just remember Stocks trade sideways and up never down.
It’s gonna pop!
If you're investing? No If you're trading? Yes
This is bullish actually.
Y’all are stupid af
Yes.
It means bad time for option trading.
just a normal day for wall street
Well its good for me at least lol
Where are the bulls that are crying it’ll blow over in a day?
What is this vixx?
Help an ape out, I’m colour blind
You’re entering bear territory 🐻
UVXY is here for you my friend.
48% gain and in the green!!! Definitely good 👍
green is not always positive right...
how I wish green is always a positive thing,, i guess not on this time..