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Old 07-08-2008
sailhog sailhog is offline
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Wind,
I hear you on the VIX. However... and I'm just thinking out loud here... and I'm thinking in terms of what people expect the economy and the markets to do in the future. With this in mind -- with people's expectations in mind --perhaps the VIX doesn't need to spike for us to call a bottom. This would be the case if investors and portfolio managers think the economy and market aren't going to tank but rather just bounce along at these crappy levels for some time to come. Their thinking is: I lose if I sell now; so I'm going to sell selectively into the rallies. Of course this would put a damper on any sustained rally. Anyway, Wind, I'm guessing no good nor devastating news for the Dow... NASDAQ's a different story... What are your thoughts? Lay it on me, baby!
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