Buy! Buy! Buy! Buy! Buy! Buy!

[Kurt_and_Hunter]

All the TV stock people are falling over themselves... the bottom is in place! This move above S&P 741 guarantees a run to S&P 900!

Newsflash: When the real bottom is in place almost nobody believes it. That's how it works.

A typical bear market rally is an explosive 10% up move. (Bear markets lead to big short positions and the rallies force a lot of short covering, hence the explosive nature.)

Let's see... a 10% bounce from Dow 6500 is around Dow 7150. Today's close Dow 7170. So it's a bear-market rally so far until proven otherwise.

If everyone was skeptical then maybe we'd have something to work with but the giddy sentiment almost guarantees this rally will get sold into pretty hard.

Old trading maxim: "The stock market climbs a wall of worry."

On the other hand, if the market sells off this rally and takes out last weeks lows with much gnashing of teeth and THEN rebounds everyone will be skeptical as hell and that probably would be the medium-term 2009 trading bottom.

[graywarrior]

1. And buy stuff that breaks!

So you can buy it again! ! ! !

[PretzelWarrior]

2. well thanks for your blue bird of happiness report

[Kurt_and_Hunter]

5. Of course, my own skepticism is itself a positive for the market

I'm probably a pretty good counter indicator for trading.

[jefferson_dem]

3. What will the Obama-hating mouth-breathers say now?

For the past month, they were all parroting about how his presidency was ruining the stock market.

Hannity had even found a new baseline to make Obama look bad - the May 2008 market numbers of 13,000(ish) when Obama was inaugurated. That's right. He's even willing to sacrifice seven months of Booosh's economic management if it meant he could use it to slam Obama. Now that meme is evaporating before his shit-stained eyes. What now?!

[Kurt_and_Hunter]

4. Just think how much it dropped snince Obama first announced his candidacy!

[Uzybone]

11. But how much has it risen since he was born?

Isn't that proof that Obama is good for the economy?

[doc03]

6. So is this called the Obama rally? The drop was called the

Obama market meltdown. CNN said he presided over the worst stock market performance the first 50 days of his Presidency that any other President in the history of the USA a couple days ago.

[Uzybone]

12. 2nd worst. Ford was the worst.

But the market went up 20-something percent for his entire term. 1st 50 days mean nothing over 4 years.

[davidwparker]

7. So, you test the waters by *slowly* moving small amounts of cash into

something. If it hits the fan again, you've not lost much by comparison of all the money that you've previously lost.

[backscatter712]

8. Now I'm envisioning Jim Cramer on Mad Money...

jumping up and down, hitting the buttons on his consoles making silly noises, hooting and hollering...

"BEAR STEARNS IS FINE!!!" "BUY BUY BUY!!!"

[avaistheone1]

9. Should Americans buy, buy, buy, buy who have lost their jobs?

Or should American buy, buy, buy, buy when banks who borrowed TARP money with taxpayer money, are using those funds to start new business operations in China and India?

[4lbs]

10. Well, so far I've made some money.

After seeing Citi drop down to about a dollar per share, I purchased 1000 shares at $1.05 each.

I then purchased another 1000 shares at $1.55 each after the Citi CEO issued his statement.

So, I have 2000 shares of Citi at an average of $1.30 each.

The current price is $1.67

37 cents x 2000 shares = $700+ profit on $2600 invested in just a few days.

That's a 27% return so far.

Although I think I'll keep the stock a while. I truly do think it will reach 2 or 3 dollars per share by the end of the year.

[dixiegrrrrl]

14. Will you come back and let us know, say, in Dec???

[4lbs]

15. Sure, no problem. When I buy stocks, I don't short sell or do day trading.

I typically hold them for at least an entire financial quarter. If they aren't performing, I'll sell.

Although, if one looks at it, I'm putting money into President Obama's vision on rescuing the economy. By investing in the same companies and banks he plans to with TARP and the stimulus bill, I'm giving real money-where-your-mouth-is approval.

Besides, if it doesn't all work out, I'll have more to worry about then the money I lost, because the entire country AND federal government will be totally ruined.

[Solomon]

16. I think you got something there. I just might do some investin'

myself. While the getting's good, as Humphrey would say. :hi:

[damntexdem]

13. Bye bye.