We finally managed a little seasonal strength, but it was very modest, and traders obviously weren't being very aggressive today. It is just very difficult to have much confidence in this market, even for shorter-term bounces. The history of the market lately is if you let quick gains slip away, you won't have any gains, so fast flippers are ruling the market right now.
I've heard from quite a few folks who think that we aren't going to see any sort of an end-of-the-year bounce because there is still pressure from redemptions and repositioning. The odds still favor some upside over the next week, but no matter what, it will be a bumpy ride.
I would really love to be more optimistic about this market other than for very quick short-term trades, but until we have greater confidence and the indices can put together some sustained strength, we aren't going to attract the big buyers who will support this market and get it moving. The technical conditions aren't that bad, but we have not been able to build on them for almost three weeks, and that is not a good sign. We still are holding support, and that is good, but we need some energy.
Merry Christmas and happy holidays. Now is the time to focus on the only investments that you should love for the very long-term: your family and friends.
P.S. Will you be there when Cramer makes his next move?
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Rev Shark Blog Little Effort From the Bulls 12/24/2008 10:10 AM EST If we don't see some positive action in the early going, many are just likely to forget it and start the holiday.
Rev Shark Blog Persistence Will Eventually Be Rewarded 12/24/2008 7:30 AM EST While it may not feel this way right now, the stock market really is the gift that keeps on giving.
James "Rev Shark" DePorre is the author of Invest Like a Shark: How a Deaf Guy with No Job and Limited Capital made a Fortune Investing in the Stock Market. He is founder and CEO of Shark Asset Management, an investment management firm, and he also operates sharkinvesting.com, an interactive online community that serves and educates active investors. DePorre holds business and law degrees from the University of Michigan, is a member of the Michigan Bar Association and a former tax attorney and CPA. He lives in Anna Maria Island, Fla., with his wife and two children. Under no circumstances does the information in this column represent a recommendation to buy or sell stocks. Rev Shark appreciates your feedback; click here.
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