If Tuesday’s rally had you thinking the worst was behind the financial markets, then today had you second guessing that wild assumption. For the Nasdaq, things only got worse, by closing below Monday’s lows, and to be completely honest there is no sign that a bottom is coming in the near-term. Bailout or not, this market is in for some tough times still, and don’t think that Congress, for a second can fix the problems that our economy is facing.
Don’t try to call the bottom in the market, it’s likely to be detrimental to your portfolio. Let capital preservation be your #1 priority even if that means staying on the sidelines while this mess plays itself out.
Here’s the Nasdaq and S&P charts…