IS THE STOCK MARKET SAFE TO INVEST NOW

I am sure many investors are in pain right now. The DOW sank below 10,000 for the first time since 2004. All US stock markets are down over 33% from its highs. Yet there is no end of the credit crunch crisis. The drops are like water torturing. Volume on the downside are not drastic. Meaning no buyers to step in to buy anything on sale. There is no capitulations yet. I would like to see days with drastic down volumes to scare people away before I can call it the bottom.

Right now, it is very tough to make money on the long or short side. But if I have to choose one, I would pick the short side in the near term. There is no doubt in my mind the market will come back in the future, but we dont know when. And we do not know which compnay will survive strongly when the market is back. Keep your money on the sideline for now. Do not catch the falling knife. Wait for the tide to turn before buying stocks. It is very hard to pick the bottom. I am bless that I sold all my stock positions on the day when he bailout plan passage failed. I have limited my risk now.