Monday, October 13, 2008

Was Jim Cramer right to say "Sell" before an 18% decline in the market

I, for one, am a fan of Jim Cramer. I think the guy is right more than he is wrong and that, had anyone listened to what he said EARLY last week, they would have saved some $$$. A KEY element is that he said, "if you need the money in the next 5 years then don't hold that money in stocks" which is what MANY financial consultants would and SHOULD tell people

I know COUNTLESS people that have watched all their gains since 2001 and 2003 disappear. I know some people that are cutting spending because, guess what, they have to send their kids to college in the next 5 years and they now don't have the $$$.

Oh, and today's 11% gain in the markets STILL hasn't even remotely CLOSELY come to ending any short-term downtrend. Until we get up over the 20 day moving average and then break the 20 week moving average I am not going to be a big BULL. Now, is the market due to bounce/rebound off of a technically oversold state? You betcha! I see S&P 1100 VERY possible as the market rebounds

Dan Ross

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