Archive for January 4th, 2009
Buying Bad News
Here is a list provided by Bespoke showing the reaction to the worst consumer confidence numbers. 75% of the time if the actual number is more than 5 points below consensus expectations, its a buy. the negative days have never exceeded 1%. those are decent odds. you could almost buy it blindly with a 1% stop. something to look for in the coming year as it is quite possible this happens again.