Friday, January 25, 2008

Jan 25, 2008

Treasury bonds are overvalued. Stay away.

Dow has gained 900 pts in 3 days. Remember that rallies in bear markets are sharp and typically retest lows. Bear market rally? Volume has increasingly become lighter (25% lower) since beg of rally, which is not a good indicator.

Markets were essentially even during the week.

The market is not trading on fundamentals- trading on fear and volatility.

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