3/10/09
Finally, Bear market super oversold rally is reached its max power today as Dow finishes 380 points and S&P rally 5%. Even though the prevailing view over the last few days has been that stocks simply won't go up ever again, today's 5%+ rally has investors once again asking if this is the bottom. Before getting too far ahead of ourselves though, we would note that today's gain is the eighth one-day rally of 5% or more since the S&P 500 peaked in October 2007, and we're lower now than we were at the close of any of those seven other days. We know the same routine by now, correct?! So let's see if the bulls has legs tomorrow. However, as you can see above charts, there has resistance everywhere so it would not be easy task at all. Remember and realize that today's rally is not because of Citigroup has a profit. Yeah!! Profit excluding what?! Who know?! Pandit did not say. Short sellers are using this excuse to covering their huge profit. Yummy!! It is technically very oversold as I kept saying for last few posts. I need to see follow though day to confirm if we got the intermediate term bottom insight. By the way, I expect there has minor pullback and resume the bullish movement in the tomorrow morning. Keep read my blog often and see.
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