What a short covering day in the market

Well, the market rebounded from the fear.  The problem is the fundamental problem still exist – credit, not just cooperate credit problems but consumer’s credit issue as well.  The market is buying on rumors: any rumors that is good because great after couple of degrees of separation.  People start to think everything will be fine and traders starts to buy.  You get just enough of a push from the buyers at these prices, you get a huge short covering.  What goes down must come up (in a broad market – some stocks can go to zero, but broad market can’t unless the country stops trading completely).  What goes up must come down.  Right now, we came down too hard.  (I didn’t say too much).  Too steep of a fall will incur a price adjustment.  Too much doesn’t mean it is not justified if it is done overall time.  Here we have the largest price and percentage drop ever.  It is the opportunity to buy in the short term and take profit whenever you can.