3 Answers

This spike we are seeing will be short-lived but should be good for just under 10%.  This is a rally within the bear market.  Hence, the old adage "Sell in May and go away" still holds true.  You need to continue to be cautious and nimble.  After this brief spike, rest a bit until after mid or end of October.  Get ready for the year end rally. 

This will be quite meaningful for 2 reasons:  seasonally the market does the best during the final quarter; and stocks tend to rise 6-9 months before the end of the recession (I believe that there'll be a double dip recession coming shortly, hence, the year end rally will coincide with the period of 6-9 months before the end of the second leg of this recession.

The stock market, believe it or not, is a discounting mechanism.  It can sense something months ahead of the actual occurence.  This is why we call it a "leading economic indicator."

It will be fluctuating. 

IT WILL GO UP

OR IT WILL GO DOWN

OR IT WILL GO SIDEWAYS

AND I CAN GUARANTEE THAT 100%