With homebuilders on the brink and a massive takeunder by Bank of America of CountryWide, we are truly in a crash situation.
The takeunder says that Countrywide is indeed busted and the B of A dabble with Countrywide at $20 was a huge blunder.
That is enough to shatter the confidence of a lot of people who push buttons on money.
I am adding some SPY and QQQQ back down here with the Dow back down 280. I am not thrilled about the purchases and am looking at crash put ideas as we speak. If it ain’t buttoned down, the market may take it away from you next week.
I am glad to have honored my stops in the 20 or so stocks I have stopped out of in the last 30 days. They have been pounded relentlessly since. My trading has been good, but a small mistake now could be costly so you need to be extra cautious.