Wall Street Crumbles and Global Markets Tumble ...

... But the Dean Jones, Dow Jones Trader Portfolio is still in the green, and the essence of this blog is beginning to show it's true colors (no pun).

The blue-chip index's plunge occurred as credit concerns (surprise, surprise) came back to the forefront, and global financial stocks dragged the market lower on continued concerns about the health of the nation's mortgage market and the ability of mortgage lenders to continue to fund their operations and, ... (Someone forgot to mention there is still some good news out there - JC Penney stated 'back to school' sales are strong!)

Where's the market bottom? No one knows. This is a financial liquidity driven crisis and it must play itself out - pure and simple. (By the way, liquidity to individuals is one thing. Liquidity to companies of solid reputation is an entirely different thing. In this new environment the reputable corporations will get stronger and the weak entities will perish - hence the essence of this blog and trading the Dow 30 companies. Someday soon stocks of companies like Citigroup (C), JP Morgan Chase (JPM), etc, will be buys once again for future gains in our Dow Jones Trader Portfolio to profit from).

Probabilities or potential scenarios developing two or three weeks from now, and whether "the Fed" will cut rates or not, is irrelevant to this blog as well. Irregardless of all the drama and current noise of what is being said, the trend of any given stock is all we really care about, and there is no need to spend more time than necessary than to simply understand the current trend.

Here are the FACTS:

The S & P is now DOWN -10% since its high on July 19, 2007, the overall Market Trend is DOWN, and on that note this swift yet relentless market sell-off is now forcing us to further protect our gains. Of the total 12 stock holdings in our portfolio, we are selling our 2 losers, including taking additional profits in 4 of our remaining winning positions which have turned negative.

Dow Jones Trader Portfolio (DJTP) vs. S&P 500 Index
(3 Month % Change) :

Dow Jones Trader Portfolio (DJTP) Year To Date % Change as of 8/15/07:



Dow Jones Trader Portfolio (DJTP) Buy & Sell Log:

YTD % Change:

DJTP ........... +18.8%

S & P 500 ..... - 2.8%

NASDAQ ........ - 0.3%

Side Note: Ironically technology, and more specifically the semiconductors, continue to hold strong here in the recent market sell-off. We will be increasing our position in Intel Corporation (INTC) if the overall market trend will return positive soon.