Suddenly, the mood is changing.

The gloom and doom seems to have gone, at least partially from the blogs that I read.
The Wall Street Journal Blog says:
Still, one gets the sense that the tide is turning, at least among the investing cognoscenti (those that have their shirts, that is). …… “maybe we take a pause here, but the risk longer-term is to be out of the market rather than in it.”

My Notes: Does this sound like a bear market rally ? Sudden Optimism rather than a base
building process. Yet, as traders, if the market is going up, we wan to be long.

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There is a prolonger bear market ahead: (From Bloomberg)

A global stock slump may have further to go, according to Tobin’s Q ratio, which compares the market value of companies to the cost of their constituent parts, CLSA Ltd. strategist Russell Napier said.
The S&P may plunge another 55 percent to a trough of 400 by 2014, the strategist said.
Before the trough in 2014, investors are likely to see a so-called bear market rally for the next two years as central bank actions delay the onset of deflation, he said.

My Notes: The relevant part is the forecast for a bear market rally lasting two years. This is interesting since this is almost like having a decent bull market which may not exceed 2008 highs, but could still provide returns.