Which index is now 101.3% higher than the highest reading during the last Bear Market?
The answer is the New Lows on the New York Stock Exchange. The highest level of new Lows was 912 in 2002. Yesterday, the New Lows reached an unprecedented level of 1836. This is a clear sign of panic selling with NO buyers interested in perceived bargains.
Yesterday's level is an indication of the panic levels in the market which is being shared by both individual and Institutional investors. The implications of the current reading is that panic and fear levels are exceeding those we saw in 2001-2002.
As we commented yesterday: "The market scenario is one of panic and selling. When can a bottom be established? Probably, not until we run out of sellers. At that point there will only be buyers left and we will be able to find a bottom."