Da Bears

Here is the cover of the latest issue of Businessweek magazine. The cover story tells us that the perma-bears who called the crash of 2008 may be about to have their day once more.

I have found that when the news media highlight the views of of money managers or market gurus those views are about to be proven wrong by subsequent market actions.

I think this cover story is another piece of evidence that the current market juncture (S&P 500 closed yesterday at 1087) is a big buying opportunity for the aggressive contrarian trader. Of course aggressive contrarians who have been following this blog and the methods of my book are carrying an above average long position from the S&P 690 level for more than a year now. So for them no additional action is called for.