$SPY - 2008 CRASH EXPLAINED -
Added 2025-03-12 19:49:58 +0000 UTCIt is a good idea to see what happened in 2008 with the Great Financial Crash to understand what is happening right now.....and we can clearly see how important the 50 and 200 Weekly MA's played a part in guiding the market.
Follow points 1 through to 4.
This all happened before the collapse of Lehman Brothers, which many believed was the trigger in Sept '08, but we can see that the 50 WMA was first lost in November 2007.
The decline then lasted until the second week in March (this week) in 2009.
So large crashes take some time to be confirmed and complete and it is not going to be comfortable throughout.
Today we are in November 2007, as of right now, all we have lost is the 50 WMA.
We must be patient now.
Comments
really like adding the comments on the chart.
Daniel
2025-03-13 11:16:06 +0000 UTC50 WMA was lost in 2018, 2020, 2022 but 200 WMA always reacted well as support (violated during covid but never acted as resistance). Let's hope we are yet in a similar care as in 2023, were 50 WMA become support very quickly.
Magopool
2025-03-13 10:56:01 +0000 UTCSuperb chart and explanation of the 2008 crash. Will be interesting to see how big of a final dip we get for this correction if it goes ahead
Joel (ASTS Fan Club)
2025-03-13 10:12:39 +0000 UTCI can’t imagine if a crash like that happens that any stock would be safe even if it didn’t follow the market like AMD
Phuze562
2025-03-13 04:15:00 +0000 UTCAlways good not to be over leverage and have spare cash on the side line. Learned a lot from the China 3-4 years BEAR market. Money Management is important. Thanks for sharing and get us prepared for the storm.
Mk Yee
2025-03-13 00:17:25 +0000 UTCTrue, but we are not asking for handholding in every step, it’s all charts and predictions so just asking for some numbers. No need to be rude. Not every one is as “ experienced “ as you in the group. Some of them could be like me, new to investing, trying to build life and savings. So please be mindful of such people too.
Green Waves
2025-03-12 23:02:50 +0000 UTCIt's odd how a group of adults need such handholding but it's absolutely awful the thought of losing half your worth. I'm only REALLY down on hims and Oscar and the daily handholding from TLI is actually great. Adult or not, seeing your new investments down 15% in a fortnight sucks. A year long correction will not be for the weak at heart!
Nigel
2025-03-12 22:47:17 +0000 UTCPlease respond, much appreciated
Green Waves
2025-03-12 22:43:44 +0000 UTCAh yes, those were fun days. I bought a lot of precious metals and avoided stocks, for way too long. Didn’t lose my job until 2012, at the very bottom. Four years later I had a new career and bought a new house. Moral: never give up. Shit happens along the way.
kenv
2025-03-12 22:36:47 +0000 UTCVoj/Cap, Apologize for my inability to understand this commentary, can you please explain in numbers for spy, does this mean we might retested SPY to 580-600 and then drop to new lows ? Please explain with some numbers so people like me understands 😊
Green Waves
2025-03-12 22:34:12 +0000 UTCYou mean be prepared to lost -50%. Many people are new here like me who already lost -35% . Should we sell or need to wait to lost another 20%?
raja sekhar
2025-03-12 22:03:14 +0000 UTCYes
Vojtěch Šimeček
2025-03-12 21:59:11 +0000 UTCCan you do a chart for 2018 during the trade war?
ACE
2025-03-12 21:39:41 +0000 UTCCan you show us/me how to make that chart? I"m messing around on Investing.com and putting in 200wma and 50wma but its not looking like that. Or is that lesson somewhere on here?
Jacob Tolley
2025-03-12 21:35:17 +0000 UTCwhich MA CAP? Simply?
MuaSer
2025-03-12 21:10:16 +0000 UTCSo if it lost the 50 day moving average how high % can stocks go before the crash happens?
Nadim
2025-03-12 20:38:16 +0000 UTCSuper clear chart, thanks a lot!
Kad
2025-03-12 20:35:34 +0000 UTCDon’t try to time the crash/correction, be prepared for it but building a strong cash position with safe havens
Matt C
2025-03-12 20:32:51 +0000 UTCThanks Cap.. Question, if the 50 WMA end up getting recaptured, will you have a differing opinion about the possible market correction?
DA
2025-03-12 20:29:24 +0000 UTCVery appreciated, thanks a lot Gar !
Luc
2025-03-12 20:20:46 +0000 UTCAnd would the bit of green immediately before l brothers crashing have been a new impulse wave 1 but for L brothers being a black Swan event?
Nigel
2025-03-12 20:16:32 +0000 UTCRead the end of his writing. He said at this point all we have lost is the 50 ma. We must be patient. It is right there at the end lol.
Issac
2025-03-12 20:14:21 +0000 UTCWould e.w.t have shown that March 2009 was the end of the crash? What is on the chart around that time to signal a new impulse wave 12345 please?
Nigel
2025-03-12 20:14:21 +0000 UTCWow. Just seeing now how extended today's market is past the 200 weekly MA compared to 2008.
David O
2025-03-12 20:01:44 +0000 UTCGreat lesson and commentary, thanks!
NR15
2025-03-12 19:58:57 +0000 UTCIt's too early.
Dante
2025-03-12 19:58:40 +0000 UTCThank you Cap! Appreciate your inputs much
Arjun Balakrishnan
2025-03-12 19:55:36 +0000 UTCAre you saying such crash is coming?
Robert Kalenderov
2025-03-12 19:54:38 +0000 UTCI want to sell everything and seat on my hands for the next 2 years then. But hard to sell when I'm already -20-30%
Sam R
2025-03-12 19:53:32 +0000 UTCso we should be ready to sell it all before the crash happens, would wait for you to alert us! thanks for this post
Divyam Kaushik
2025-03-12 19:53:27 +0000 UTC
