Since last Monday the market has made a nice little rebound but it will take about 6 months of this before we are out of the woods.

The market has formed a hammer candle stick which is a positive sign. This is usually seen as a reversal pattern. How long the uptrend will last is unknown at this point since the economy as a whole is still very negative.

Even with that said there are many beaten down stocks that have huge potential. I particularly like the solar industry and for a long term hold the oil industry.

Here’s a chart for the action this past week: