Heads Up: Asia and European Markets down 8-10% today

[JCMach1]

It's going to be bumpy.

http://finance.yahoo.com/

World stock markets tumbled Friday on growing alarm that a global recession will ravage corporate profits and push smaller developing economies to the brink of collapse.

Futures indicated a sharp drop on Wall Street, with futures down 550 points, the maximum daily price change.

In the European morning, Germany's benchmark DAX index was down a massive 10.76 percent at 4,033.27. The French CAC40 down 10 percent at 2979.95 while Britain's FTSE 100 was 8.67 percent lower at 3,733.33 after third quarter GDP fell 0.5 percent, putting the country on the brink of recession, which is technically defined as two quarters of negative growth. The previous quarter's growth was 0.0 percent.

Japan's Nikkei 225 stock average slid 9.6 percent to 7,649. U.S. stock index futures were down sharply. On Thursday, the Dow rose 2 percent to 8,691.25.

Quarterly earnings have been poor so far, with profit warnings coming thick and fast across all industries. Shares in Europe's automotive companies fell hard on worrying third quarter figures, with truck-maker Volvo AB down 19 percent and PSA Peugeot-Citroen falling 12.4 percent. Daimler AG and Fiat Spa also warned about profits... http://ap.google.com/article/ALeqM5h3kgMAkbLwyfxBdjzw8Pc4KZ7DhQD940QRH80

[4dsc]

1. Hedge funds are dumping big times here..

Lets faces it most of the volatility is brought to us by hedge funds that are sying and dumping whatever remain stock they may own..

[JCMach1]

2. It's looking like a 1000 point drop today...

If that capitulation happens you could a rally up to about -700-800.

It's going to be VERY ugly.