Earlier this week when the market began to rebound many argued that the market was a buy because sentiment was too pessimistic. I reminded readers that time is an important aspect of a decline as well as the level of sentiment. At the time not enough time had passed for participants to act on their bearish feelings.
Today is day eight since the market took a sharp move south and the more days pass the more people capitulate to the negativity. Monday would be day ten of the decline and that would make us maximum oversold. In other words we are late in this decline and the time is approaching where one should try and see the positive, for a trade.