Tuesday, December 23, 2008

Stocks Ready to Test Bottom?

I was just looking over some charts and noticed what seemed to be "fluttering" at a top of the S&P 500. More times than not, that ends in a collapse and reforming of a pattern. I notice the "experts", the same ones who didn't happen to notice Bernard Madoff was a crook, keep saying sentiment is too bearish for another leg down. How many times have they picked a bottom?

I am a touch concerned about my outlook validity, as Dr. Marc Faber believes November was a bottom. It certainly wasn't a bottom over the next year, and I don't think it'll hold for a month. We'll see.

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