[shaunattwood]

Look at the chart of the Dow in early 2008. The 150 day ma had rolled over into bearish territory (like now) but the Dow still managed some huge rallies, one of which actually took it back above the 150 day ma. Bear markets usually last 9 to 18 months. In that previous bear market, I found MACD useful for timing short sale re-entry points. Investors tend to get bullish on these bear market rallies, only to be wiped out by the next plunge.