hopefulone's - almost there - friday, page-45

Last night's crash was probably due to all those algos trading against each other.

As they say on CNBC's Fast Money - "These valuations are compelling, but I am just waiting for a bottom in the market before buying".

A repeat of 2008 requires a blowup of the banking system and a contraction of world trade. This is not happening. The market has finally accepted that the economy is weakening and the panic selling and algos in combination are driving the market down for now.

No reason why the market should revisit March 2009 lows. Governments are printing like mad and providing all the liquidity possible. Interest rates are low in USA, Europe and Japan while in other places such as China real interest rates are still negative.

It really is a strange market. There have been signs of a slowing US economy for some time, but all of a sudden this has been recognised by the markets.

This panic will provide opportunities for those that are cashed up, and force Benny to try some sort of trick (but possibly not for some months).

I thought we could go down to 4200, but I expected a much gentler glide path.

Thanks martis for your stongly held views, and to all the others that provide TA insight.

loki