This may sound funny but what it worries me greatly that the SEC wants to impose additional restrictions on short selling. It almost confirms to me that the market will go much lower. Nothing can control a market - it moves on its own. All previous attempts to prop a falling market (ie, the fed, the economic stimulus plan) have not been successful.
On an unrelated note:
As I've mentioned before, I'm very wary of Washington Mutual as well, today we saw it go as low at $3.56. We saw IndyMac bank fail last week. The failure of WM will have much more of a profound impact, imo.
This is looking like more of a sharp rally within a major downtrend. I also mentioned in previous posts that we'd fall straight through 11,600 and we definitely did (all the way down to 10,800's). There was simply too much complacency. These rallies only serve to fuel a mindset that "buying the dip" will always be the right thing to do. However, any professional will probably understand how it will bite you in the end.
Right now, BIDU is one of my few points of interest on the long side. Their earnings report was spectacular, and China continues to impress in general during this earnings season. Although it's still important to be wary due to market conditions and also "expectations" for BIDU, i still don't believe it's impossible for BIDU to overtake GOOG soon in stock price (which means a > 150 point move up). GOOG disappointed us this time, yet BIDU impressed.
In addition, I was very impressed by ISRG's report... that company is seriously becoming a niche player with no competition in the robotic surgery market. Amazing uptake and recurring revenues. I can see that going to a new high above $360 a share if market conditions allow.
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