Pavlov Dogs

After gapping down to SP 1325 or a loss of 18 points the frenzied dip buyers are rejoicing at a chance to buy into a market where the only losers are bears.  We have already surged 9 points from the open, erasing half the losses in some 40 minutes.  Buy the dip has become ingrained because dips only come once every 3 weeks.  And usually they are of the 0.3% variety.  We have become Pavlov dogs and my earlier question about how soon the dip buyers would show up has become rhetorical.

Now we see if we can go green by end of day.

Lots of damage in some individual stocks under the surface however…

About Mark Hanna 543 Articles

Affiliation: Hanna Capital, LLC

Mark Hanna is President and Owner of Hanna Capital, LLC, a registered investment advisory firm. Mark has been a follower of markets since the late 80s, with a focus on individual equities since the mid 90s. He has been a well known commentator in the financial blogosphere for the past 5 years, following a career in corpoporate finance and accounting. Mark attended the University of Michigan where he graduated with a degree in Economics.

As an avid reader, Market Montage is the personal blogging site for Mark to share his views on economics, markets, and the like. Occasional cynicism and wit shall be deployed in his postings.

Follow Mark on Twitter @fundmyfund.

Visit: Market Montage

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