>I will dispense with my obscure titles and go right for the gut. As of this morning, for the first time, all major exchanges have moved safely to the green zone. The market has dropped to the oversold zone to a point that there are huge odds the market will recoil from this level for the next few months. This is very similar to the bottom day of the bear market in March 2003.
You have to put yesterday in perspective. On May 6, the financial market shook in terror with a phantom 1000 point drop; putting the retail investor on the sidelines. The S&P is down about 12% from its high point a few weeks ago. It is hard to say where support lies, but the first level lies pretty close to yesterday’s lows.
The upside bull market will reinvigorate itself and the major part of the shakeout is over. I will have a more in depth observation Monday as we see how things go today and over the weekend. I am looking for buying opportunities not selling.