A Grain of Salt

Yes, the market was up yesterday following through on Friday’s late surge.  However, I urge readers to take the current uptrend with a grain of salt.  For the most part yesterday’s postive action represented lots of short covering along with some bargain hunting, since most of the economic news remains poor.  Housing remains mired in what can only be called a mini-depression and consumers are beginning to scale back on their purchases of big ticket items.  I expect the uptrend to be very short-lived and beginning today I believe the market will begin to once again trend lower.  Keep your powder dry for the real buying opportunities that will emerge in the coming months.

Leave a Reply

Your email address will not be published.