You live alone in a cabin in the woods. You hear rustling outside. Sometimes that means a serial killer has come to slaughter you. Sometimes, it’s just the wind whistling through the trees.
Same with the declines on Wall Street. Sometimes, when the market drops, it means bad news for the economy. Lower earnings...higher unemployment...mass hysteria. Other times, it doesn’t mean much of anything at all. Those more benign drops count as technical decline.
Technical declines don’t happen in response to anything fundamental. Shares of a company fall. But the slide didn’t happen because earnings were bad, or because bad news about the company was released. The decline took place because of people responding to the movement of the stock. The chart showed that the stock hit some resistance. That triggered some automatic trading. Meanwhile, other people just moved to lock in recent profits.
Whatever the specific cause, it doesn't signal that anything has changed for the underlying company. It's a stock market thing alone. Something technical, not fundamental. A technical decline.
Related or Semi-related Video
Finance: What is Community Property?0 Views
Finance allah shmoop what is community property All right you
were married at twenty two Back then she looked great
in a bikini and you looked um you know great
in your speedo And unfortunately that was about all you
had in common She'd say faster faster The lights are
turning red Life in the fast lane pretty much slowed
So you filed for divorce in a quote community property
state unquote which means half no matter how you slice
things whatever gains you had in value of whatever properties
or investments or pieces of art a different art And
at the other end of the spectrum of no fault
lives equitable distribution divorce which pays attention to the assets
you came into the marriage owning along with their appreciation
and value during the marriage in an equitable distribution divorce
If you came to the marriage with a million box
and you're deadbeat husband had well nothing other than you
know large feet And with stock market compounding that million
dollars grew to be worth four million by the time
you got divorced Well then it's highly likely that you
would get to keep a very large portion of that
four million dollars in an equitable distribution Yes we're being
hugely vague here because every state is different in most
states Run the process in one form or another through
a kind of clearing agent in the form of a
divorce judge More less That judge then takes into account
a whole bunch of factors like the earnings power of
each spouse The value of the separate properties brought into
the marriage when they closed the deal The degree of
financial contribution of each spouse and future financial needs ages
liquidity pre nup agreement and all that general living stuff
Things like drug abuse adultery and domestic violence actually don't
count in the calculation of those post marital bliss financial
awards Yeah go figure A snapshot of the assets at
the time of separation is generally taken and the lawyers
feast on the contentious hostile he said She said process
of breaking up which really is hard to do well
this system runs office it to those of the community
property No fault laws of california and its brethren In
those cases while the financial gains accrued during the marriage
get cut in half and one piece goes the husband
and one piece goes the wife that is in states
which have adopted community property laws I either property you
two own together in your marriage is equally divided as
part of your little community of to you split it
when you split the community property states well wisconsin's one
and you know then basically the west That's community property
right there That's the matter So when divorce strikes community
property laws helped clarify things legally And the whole invention
of community property laws was a big innovation in the
legal community that primarily helped women And it actually help
them dramatically because before it's admin often property or assets
were viewed as earned by the husband solely so in
a divorce women got more less nothing in return for
staying at home and doing laundry washington dishes raising the
kids and you know running their undercover gambling operation And
in the process of this form of social innovation many
states adopted a no fault divorce system Where in you
know it really didn't matter who was having the affair
or with what didn't matter who was a total pain
in the ass to deal with in the mornings before
coffee you know Or who was a drug addict A
spendthrift a riverboat gambler It just didn't matter No fault
if a couple didn't want to be together Well the
law just changed and said the notion of blame is
removed hereby and with no fault Divorce and community property
Couples were ableto split up freely You know like art 00:03:20.063 --> [endTime] here he can no longer swipe right
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