The Big Reversal!

Last Friday's unemployment rate came in at 8.5% as expected and surely enough, even though there was some selling pressure, the buyers cannot be stopped from turning the day around.

In fact, the Dow made its 4th straight up week in a row! This is the FIRST 4 straight up weeks and the biggest uptrend in this crisis so far. This tells me that something is really changing in terms of investor confidence. The fact that the Dow has rebounded off the 7500 level nicely and now challenging the 8000 level also reinforced the role reversal that is taking place right now. I don't see the market going straight up from now on and there would definitely be a correction back to a strong support level in the near future but I do not think that a new low would be made. We could have seen the bottom back in last month.

This week is Good Friday week (see stock market calendar) and a week without any heavy weight economic numbers. This is going to be the week investors digest what happened last week and investors who have missed it all so far might just jump in this week.