So far so good on the GE hammer panic bottom. GE is now consistently trading over $10 from its low under $7. The Dow is up almost 1500 points off its lowest low. Not coincidentally, a friend who I regard as a great trader on Wall Street called me at the beginning of the month to tell me he was seriously considering taking a job as a doorman. Another person very close to me manages a small brokerage office in Florida. He spoke of panicked investors pulling their accounts. He was worried for the first time in this business and he has been in business over 20 years.
This fear does not show up at market tops but at market bottoms. They may not ring a bell that says buy, but if you can read the fear in people's eyes, there is money to be made.