The indices are all in falling wedge patterns, suggesting higher prices coming up on a breakout. Last week showed a huge 5-day buy surge on diminishing volume, which suggests one or two more sell-offs remain before the market finishes its decline. However, this will all probably occur within 2-3 weeks, and the markets should set an intermediate term bottom before 2009 rolls around. This scenario is quite similar to what happened in 1929, as well, as December was the last down month in that first market decline. This "bottom" will be a great time to buy many commodity and energy stocks, which have tanked in recent months as the commodity bubble collapsed. Stocks like SOL, FSLR, ENER, ESLR, APA, DVN, CHK, CLR, POT, MOS, MON, CF, GU all look like they could have 30-70% bounces from this area to the next downturn in the markets, probably starting in spring 2009. I think this market bottom will be around Dow 6800 and that it will rally to about Dow 10,000. The market is just beginning its overall decline, however, and by no means is the stock market bottoming for good in the forseeable future. Deflation has just started and if the debt bubble collapses like I expect, our recession/depression will become inflationary, which will only make matters worse. I estimate the ultimate bottom to be around 3200 in the Dow, and those stocks I listed above will most likely end up much lower than current prices and some might end up bankrupt.