Kass: Look for a Rally

Many are critical of bottom calling on this site and elsewhere. But why is bottom calling and anticipating trend changes illogical while following the most recent pattern of price behavior is seen as logical?

"Buy at the sound of cannons. Sell at the sound of trumpets."

-- Nathan Rothschild

I will have more on my more upbeat view (with emphasis on the magnitude of the growing negativity bubble, the vulnerability of crude oil to an imminent price drop and a further discussion of a number of credit measures that imply less financial stress than equities are currently indicating) early next week, but for now, I believe that the skies are starting to clear after Mr. Market's damaging hurricane, however, there is a lot of rebuilding left to be done on the ground.

Above all, the market is a discounting mechanism, and the hardest trade (in this case submitting the buy ticket) is sometimes the best trade.

Doug Kass writes daily for RealMoney Silver, a premium bundle service from TheStreet.com. For a free trial to RealMoney Silver and exclusive access to Mr. Kass' daily trading diary, please click here.