A number of readers asked the question of why did the stock market sell off even if the bailout plan was signed. To understand why, the reader should understand that the stock market is subject to laws of supply and demand of stock. The market follows technicals, and the point at which it was when the deal was signed was in the area of sellers. That is why it went down. It had to go search for buyers who were down in the low level.

It has been doing this since the monday bottom. We have been using this observation to time this market since Monday end of day.

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