Ten Bear Market Phases: Where are we

Michael Shedlock summarized that there are 10 phases in a bear market. Let us review where it started and where are we now.

1. A huge buy-the-dip mentality sets in during the initial decline. Most partygoers cannot fathom that party has ended.
2. Moderate concern sets in when buy the dip stops working.
3. Initial panic. (February to March 2007)
4. Numerous bottom calls are made, all wrong.
5. Search for the guilty.
6. Punishment of the innocent.
7. More panic. (August 2007, January 2008, March 2008, July 2008, etc)
8. Lawsuits fly.
9. Regulatory power is given to those most responsible for spiking the punch bowl.
10. Congress gets in the act and makes things worse

Steps 4-10 are repetitive, and we experienced 3 failed and in the 4th loops so far.