Wow! Today’s action was by far one of the most significant days of the year. One could truly feel panic setting in with the buyers. We are extremely oversold in every sense of the word, and at this point it would seem illogical for us to get a bounce, which precisely makes me think we probably will here in the next day or so.
This is by far the hardest market we’ve had to trade in, in quite some time. You just know, ole’ Jimbo Cramer is losing some sleep after calling the ‘bottom’ in the market back in July. He may be right eventually, but its nothing more than a crap-shot on his part to garner more viewers.
Another reason why we think that a bounce may be imminent (notice I’m not using the word bottom, because ultimately no one really knows where that is at), is that we are receiving a lot of hits on our website from folks looking for leveraged ETF shorts. In recent past that has often signified that the ‘dumb-money’ is pouring in and about to get burned.
Stay small, nimble, and cool!
Here’s the Nasdaq and S&P charts…
