We guess we shouldn’t be surprised, but despite the terribly ugly action we’ve seen recently, today’s bit of strength – and it really wasn’t all that big of a bit – brought the serial bottom-callers out once again, telling us how this market is presenting such a great buying opportunity right now. Sadly, this is just the sort of attitude that will only serve to prolong the pain of this bear market. It doesn’t matter how many times they get it wrong, at some point they will, and they’ll be able to brag that they pegged the absolute bottom.
It’s a painful process, and we don’t think it will end with one cathartic woosh lower. There are ways to work within a bear market, but none of those involve fighting it, just as it doesn’t work to fight a strong uptrend. The only thing to do is embrace the fact that we are in a bear market, and know that they opportunities that will be present when all of this ends will be enormous.