The problem is that 50 is where it might bounce, if it went there (and if you're a believer in MurreyMath-type levels). The chart shows support at slightly higher levels, though. But the risk might outweigh the reward at this point. Some had a good ride with it the other day, though. A trading pal often says, "There are two types of traders in this bear market: the quick and the dead."
I like this, too, which a contributor to this thread sent:
Art Cashin, the NYSE floor manager for UBS Warburg, said on CNBC: "You can't get earnings out of these companies with a mask and a gun."
While everyone's claiming the worst is over, that nagging fact about earnings may be the bottom line. Even pro forma earnings reports won't work -- never mind a mask and a gun. As for the "consensus," what was the consensus among the analysts at the height of the bull market? If you're looking for a consensus, one had better make sure it's being used as a contrary indicator, not as a reliable signal. If the consensus is that the worst is over, I'd go to cash, and maybe bury some gold in the back yard, too. |
