Thursday, March 17, 2011

7 ETFs With the Biggest 'Bounce-Back' Potential

gary gordonGary Gordon submits:

The broader S&P 500 may not have fallen far enough to have met the technical definition of a stock market correction. Yet we shouldn?t dismiss an intra-day, high-to-low pullback of 7% as unremarkable. (For that matter, there may be more selling pressure ahead.)

On the flip side, what if the worst of the selling has passed us by? Is there a way one might locate exchange-traded investments worth purchasing?

Here?s one process of selection that may be worth considering:

1. Understand the Nature of the Uncertainties. Every pullback is rooted in fears of the unknown. The first unknown that rattled stocks off of their bullish perch was/is the Libyan uprising. In brief, investors began to fear that a prolonged rebellion in the oil-producing nation would lead to economic pain for a ?crude? consuming world. Similarly, the need to contain radiation, prevent a nuclear meltdown in Japan, and rebuild an entire


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