Welcome to the world of viewing bad news as "less bad" or "not as bad as before"... but it's still terrible news.  The fundamentals of our economy are still in very bad shape.  Commercial real estate will crash, unemployment will keep going up, the government is spending recklessly, and inflation will ultimately run its course.  This bear market rally may last another few weeks, but take some profits and buy again when the dow is back around 6500.

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Summer Rally 05/08/2009
 

The summer rally is on.  The weather is nice and the news is "less bad".  There's a whole lot more bad news that needs to come out before this rally can last.  Look at the Dow Jones chart since mid-March.  There's no way we don't re-test 7000 - 7500 again.  This euphoria might last through summer, but make sure you take some profits before it starts getting cold.  Oil stocks are still okay.

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Just because stocks have climbed 30 percent doesn't mean the bear market is over.  There are still a lot of factors to consider that many people are leaving out... invest wisely and take some profits as we'll test the lows again when the bad news begins to surface again.

Read more here.