Wednesday, March 4, 2009
So did we put in an intermediate bottom today or was this just an oversold bounce?
We were expecting a bounce as evidenced by the Bollinger band crash trade signal that I posted two days ago. That trade closed profitable today. As I said the BB trade has been one of the most productive mechanical long side trades during the bear market. (It was during the 2000-02 bear market also)
However I think the second scenario, just an oversold bounce, is probably the case, with more downside to come. I'll explain in tonights report.