Off the bottom the Dow gained close enough to 10% to say 10% ending the downwave which lasted 40 odd days. There have been three days away from the low day giving us some assurance that the downwave has ended. The strength of the surge advises us to treat this upwave seriously — perhaps scaling out of shorts and paying attention to the longs in our portfolio (remember the natural hedges?). The lottery tickets we bought in F, C, FNM, FRE etc could yield some paper profits in this wave. The tenor (also the bass) of the news has picked up this week, there was a full moon (which Rush Limbaugh howled at) and Jon Stewart instead of picking on Rush demolished Jim Cramer. Stewart for president. To us anyone who watches CNBC gets what he deserves. Cramer was baying at the moon to buy Bear Stearns a few weeks before it went down the toilet. We are in a trading environment and we expect trenders and traders to jump on this wave to punish shorts. Hedges in the major indices could well be in order, with the intent to jump out of them at the first sign of weakness. This is not a bottom. We expect to see a test of this low after this upwave is exhausted. For now the tide is running up the beach.