Jim Cramer-

Just passing some time and watched like 20 minutes of the knucklehead.
He said what I have been saying for awhile here that the financials are in serious trouble and some may go under. Geez Jim you so smart I thought he said buy Citibank @$23 geez what a play total idiot.
I personally like to play against those in the press like Jim because more than often they are WRONG. I do believe the financials are dead but I will say it here that I think they will bounce in here, yes I wouldn't be short here. Personally I would love for the SKF to come back in the $125-128 range to get long again and for stuff like MER to see $40 to set up a sweet short again.
IF and I say IF, since we are way oversold the Russell could see over 720 again as it has been showing relative strength to the S&P. The S&P could see 1365 and the DOW somewhere in the 11900-12200 area. I wil run these numbers later and give exact numbers to watch IF we do bounce.
Don't be tricked into investing as we are in a BEAR market and these bounces must be shorted or sold into if you are long, nothing more. I know the talking heads will come on when we bounce and are about 500 point higher that we successfully tested a double bottom and crap but dont believe it. For now we will play it close to the vest and play the bounce in this earnings season.
I think we crash and burn in the August-October time frame but we will see soon enough

Bulls are back?

Don't think so!! As we expected the rubberband to the down side has been stretch and we were expecting a bounce back somewhere in here. Now!!! the important technical question is where and how far do we go on this bounce. Tonight I will be doing come charts ot see what levels to watch.
Also importantly Oil gave us some firing power today to go higher. My only gripe with this was that with a $9 move down in Oil this is all the bulls could stage as a rally.
Remember earnings season start tomorrow and I expect us to have a slight upward bias throughout earnings season, so be careful on both side of the game till we get a clear sign

Is confidence lost??

The Market is at a major turning point when it comes to confidence. Has anyone noticed that the FED has said nothing in the last three weeks as we sink further into this sink hole. Bailing out Bear Sterns was the WORST movement the FED has ever done because now they must allow more influential institutions like Citibank, Fannie and Freddie to ultimately fail if they are in serious trouble.
I have been saying it for awhile the FED has no more ammunition and it is proving to be the right hypothesis here. I believe once Oil breaks $150 and the DOW reaches in the 10000 area which could happen this week or next we will get massive selling and HOPEFULLY capitulation.
For all those who dont want to believe we are in a recession stay in your dream world but I think the recession will last till a minimum Nov 2009 and possibly out to 2012. We aint seeing 14000 on the DOW people I said it when we were 13200. I said I believe we likely to see 10000 before 14000 when we were at 13000, I know I got laughed at but hey I got to stick by my analysis.