One more painful day on Wall Street

The stock market is certainly witnessing lot of pain. Investors are worried and maximum of stock traders are avoiding to take any buy call on painful and helpless stock market. The credit market is crunching, housing market is plummeting and entering of recession in US economy is almost dreading the investor.

The Dow Jones is almost at it strong support level of 12,000. Though the market is witnessing heavy pressure; I strongly feel the Dow will not fall below 12,000 levels, but still if it falls below 12,000 levels, then I don’t see any hope remaining. At such situation, maximum of the investor will try to pull out their money, and then worries will deepen to such extend that no support level will help the market. The market will not follow any technical or fundamental story and turmoil in stock market will continue for no definite period. It will take long time for one to see the market gets stabilize at some level.

Couple of years back where the market was looking as a paradise is now looking as a torment for me.

Wall Street Finished Higher After Early Losses

Wall Street saw a dramatic stock trading day on Wednesday, just the opposite that happened Tuesday. Strong recovery was seen in major indices in later session of market after a sharp fall in the stock market opening session.

A good pullback in hard-hit stocks of financial companies helped fuel the session's turnaround, while an upbeat forecast from Hewlett Packard Co. pulled technology issues higher and record prices for oil gave a boost to energy stocks.

It is quite hard for analysis to believe the worst is over for Wall Street, but looking at present scenarios it seems like Wall Street is going through consolidation phase. Consolidation phase is normally a narrow range where market tries to make a base. It happens normally after steep fall or sharp rise in the stock market.

At this point of time I feel the market will remain in narrow range. I don’t see sharp fall or sharp rise in near term. However good buy opportunity is seen in many stocks.

The Dow Jones industrial average rose 90.04, or 0.73%, to 12,427.26 after at one point being down nearly 110 points. Broader stock indicators also moved higher. The Standard & Poor's 500 index advanced 11.25, or 0.83%, to 1,360.03, and the Nasdaq composite index rose 20.90, or 0.91%, to 2,327.10.

Wall Street Sink after Fed’s Meeting

December 12, 2007

On Tuesday Wall Street sink more than 300 points after the Fed decide to cut its benchmark interest rate by 0.25%, unsatisfied some stock investors who expect the central bank would take more belligerent actions.

After the flat opening on Dow Jones and remained quite for most of the trading session before the Fed interest rate cut decision, fell 300 points. Most of the stock market investors were anticipating at least there could be 0.50% basis cut in interest but with the 0.25% interest cut by the Fed leads the stock investors for profit booking and this made the Dow Jones to plunge more than 300 points, although Fed as expected also cut the discount rate, the rate it charges to lend directly to banks, by a quarter-point to 4.75 percent.

It is also having said that Fed signaled that further cuts are quite possible if a severe downturn in housing and crisis in mortgage lending worsen. Before the Fed decision the market was in descent mode and made and strong bounce-back after strongly tumbling below to 13K mark on Dow Jones.

The Dow fell 294.26, or 2.14 %, to 13,432.77 after dropping as much as 313.29. Strong fall was also seen on broader indexes. The Standard & Poor's 500 index fell 38.31, or 2.53%, to 1,477.65, and the Nasdaq composite index fell 66.60, or 2.45%, to 2,652.35.

Wall Street- Tough stock trading session ahead

November 22, 2007

The present situation clearly seems like Wall Street is in heavy pain and going forward it seems like to continue due to growing uncertainty in US economy, sub prime issue and wilting mortgage market bringing the stock market investor sentiment down.

Looking from the technical analysis perspective after the breakdown strong support of 13k in Dow Jones, the market is now clearly headed towards the very important and main support level at 12,500, if unfortunately the Dow Jones breakdown the 12.500 level then this market clearly seems to be intermittent bear market and the next level will be hard to judge.

At this point, I will wind my long position and will sell all the highly vulnerable stocks which are picked for stock investing and will look for fresh stock trading position at level of 12,500 in only selected stock.

The Dow Jones fell 211.10, or 1.62% to 12,799.04, S&P 500 index dropped 22.93, or 1.59% to 1,416.77 and Nasdaq composite index tumbled 34.66, or 1.33% to 2,562.15.

Taking clue from Wall Street all the major stock market indices of the world mainly from Asian and European stock market suffered a great loss on Tuesday and also were in red territory on today’s trading session.