R.C. Market Report 10.17

• Market Trend: Downtrend

• High volatility continued but market finished the week with a gain. However, with the selloff at the close, it looks at though another attempt to rally (yesterday to today) will fail. As I've emphasized in yesterday's report, I believe with even more conviction that we are going to retest the very low of last friday. We may even break it which would spook a lot of people. After that I expect another buying attempt but not before we get down there first. Thus, I am now bearish from being evenly hedged. I still believe that last friday's action did provide us with a bottom but in the coming week, we'll likely spend time shaping out the second leg of a double bottom. I'd recommend investors to start picking out stocks to buy on down days, but for traders, stay with fast trades.