Back in November when the financial media was brimming with false optimism and lighting their 500th “bottom” candle I was taking the other side as usual. Most bear markets are NOT resolved with a V bottom, and at the time I posted some charts. These moves are usually reactionary, vicious, and prompted by panic short covering. The bone heads on TV will yell bottom, but it is anything but a bottom.
The following is the performance of the names on that list as of the close on Friday.
AA -17%
XLF -30% ( was 40%)
WFC – 45%
SSO – 16.6%
BAC – 61%
The true atrocity is that the pundits who made the bullish rebel yells were the same one doing it at 14000 and they still get a microphone and a camera on a daily basis. Go figure.