Some Stats on Last Week's Market Free Fall
From our Virtual Trading Room Transcript
08:18:50 PST> Brad_Sullivan: Here is a few things I ran through this morning on the move and its magnitude:
From the summer lows, the Russell 2k rallied 20%ish and retraced that rally by 50% with the recent drop;
The SPX rallied +19% and retraced 37% of the move;
The DJIA rallied nearly +19% and retraced 25.5%;
The Midcap rallied +19.5% and retraced 43%;
Finally the NDX rallied 27% and retraced 35% of its move.
In a nutshell what took roughly 7 months to build crumbled in one week we may rally from here and hold serve above 1400 SPX for a stretch, but sooner or later, leg #2 is coming and my guess is that it will be as vicious.
