Where are we going now?

johnnylite said: "This was an up ending to an otherwise crazy month. But will this optimism carry over and bring the markets back up? Are people still staying on the sidelines waiting for the another decline before they start in, or is this the go signal everyone has been waiting for? I still do not feel confident that the market is going to turn around. The MBIA news helped rally banks, retail and transport all had good rallies. But is this enough? It just does not feel right how the whole month can look negative, and then all of a sudden the market rights itself and all is well. I like to be as optimistic as possible, but I still feel uneasy. Thoughts?"

Rbreb13 said: "The basic trend is still down. You always get these mini rallies even in a down market. "Caution" is the word to follow. Buy dips and sell rallies. Until there is a solid confirmation of a reversal I'm SOH (Sitting On Hands)!"

Harry said: "The VIX is still high even with a drop. 20 is the safety mark for me but I expect a lot of up-n-down movement between 25 and 30 over the next months. [url]http://finance.yahoo.com/q/bc?s=%5EVIX&t=5d[/url]"

FirefighterB said: "We're going TO THE MOON! This reminds me of the Wizard of Oz. Stare in awe at the fire and magic, don't mind the man behind the curtain..."

EOD Traders said: "The confirmation of the bottom still appears to unresolved. There truly are bargains to be had in stocks. Being a Trend follower myself, the down trend is not broken. Jeff @ EOD Traders"