I won't get too esoteric on you, but let me introduce you to the VIX index. It is a calculation of the amount of volatility, uncertainty, fear in the stock market.
If the number is high, (the green line) it means that fear is rampant. The blue line is the DJIA.
This morning the VIX index peaked at 70. It has NEVER BEEN THAT HIGH.
With this much panic in the market, something has to change. It will.
I smell market bottom. Monday will tell the tale.
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Well, my Hubby went and sank 22% of his paycheck into everything like normal. He is excited that it must come back up.
I on the other hand say, let's just not put MORE in and hold steady.
We disagree, he wins...
So neither of our reactions is fear. But rather a "oh Cr@p" there goes the retirement fund.
He is going to speak to a good friend of ours who got out of Wall Street early as a millionaire before 40 :S. We are going to see what he is doing. He is steady and thinks things through very well and is not trigger happy.
It doesn't help anything to run and get your money out now.
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