Today’s selloff has taken the S&P 500 back to its November 2008 lows, once again slightly below the 2002 lows set during the last bear market. As the RSI at the top of the chart shows, the stock market has not been this oversold in more than 25 years.
Make no mistake: the convergence of support and the long-term uptrend right here is nothing but bullish. Many investors are obviously throwing in the towel today but I ain’t giving up that easy. Stocks are damn cheap and I view this as a once-in-a-generation buying opportunity. Right now, when it feels darkest, with rational analysis and emotional fortitude, future fortunes are being made.