In a "normal" market environment, if the Q's exhibited the current technical set-up that shows a glaring positive momentum divergence, the form of a completed downleg from the 8/15 high at 48.57 into the AM's low at 41.41, and a rally (today) that has subdivided into what I interpret as a bullish "recovery form," I would be very enticed to enter a new long position. In fact, our model portfolio is long based on the explained technical set-up. HOWEVER, we all know that this is not a normal market. It is anything but a normal market, which relegates our long position to more of a wild crapshoot. Nonetheless, regardless of AIG, the Fed, and panic selling pressure emerging immediately after any rumor or story, I need to "call 'em as I see 'em" TECHNICALLY…and my near-term work argues against beng short right here, right now, and in favor of a long position.
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