We are in the ugliest bottoming process ever witnessed. We urge forward-thinkers to follow the 11 Commandments and use no margin regardless of the temptation from the bottom callers. We remind you to not turn day trades into long-term positions, as that merely creates false hope & widening losses. The Psychology of the Call team invites you back Sunday night for our four special position trades, 2 long, & 2 short.
Saturday, March 7, 2009
Welcome back(Sunday 9:41ET). As promised, here are our long & short recommendations with the 11 Commandments in mind. The 2 long ideas to consider are CRA & DRRX, & the 2 short ideas are FSLR & WMT. ================================================================== We blogged back in 2008 about talking heads espousing their conviction in a market bottom, yet we reminded you that a bottom only comes after boredom sets in and headline news turns its gaze away from the market. The global economic problems are front and center 24/7, therefore there could be no imminent bottom even IF the indexes were to rally 10%+ from these bloodless levels. Every bear market rallies and then retests previous lows, or trends sideways for several quarters. With that knowledge in mind you will not miss any major moves and actually attain greater leverage by exhibiting patience.
Posted by The Call Team at 12:15 AM