7/11/2006

Bulls begin to stir



The only thing which works again and again is to buy panics, bearish extremes, bearish gloating and capitulation. When it comes to the indexes,mean reversion based systems are the best.
If you play the bear side you have to always keep in mind that the profit on bearish bets are ephemeral.

Earlier post at 11.49 A. M.
S&P 500 INDEX



We are setting up for a nice bounce. Lots of selling. Bold shorts. Terrorism. All nice ingredient for a nice bounce from this level.