Similarly with the S&P 500 - people were calling for 688, and though we haven't actually seen 688 yet we have been very close at 696 - the S&P bounced back to 712 today. I guess we could see another bounce tomorrow but my guess would be for a move up in the morning (US time) then a turn and a move back down. Thus giving a two day uptrend in a bearish market
On Feb 27 on CNBC Bill MClaren said "The next low if the index breaks the November low should be very close to a 1/8 extension of this range. Why, because that is what occurs in almost all similar circumstances. There could just be a marginal break of the November low at 734 to 712 but a run to just marginally below this 1/8 extension of the range to 636 seems more likely. Because the index is trending down from three descending trendlines the probability exists for this run down to be of an exhaustion or capitulation style and quite scary. But it also indicates this could be the last leg down to this trend. If the index does capitulate down it will recover the November low quickly no matter where the low."
So watch out for 636 [UPDATE - we got to 667 in March 2009 on the S&P500] on the downside in the S&P and as my mate Oscar likes to say "Don't fall in love with the upside".
Online stock trading is very difficult at the best of times and at the moment there seems to be more risk to the downside than to the upside when investing online.
See also - online stock trading for beginners