What was that song again? Paradise? No...

Purgatory! That's it!

Sure we had to deal with a catastrophic drop off on Tuesday afternoon. But we were right back in the game yesterday morning.

Sure we dropped off yesterday mid-day, but started to come back by the end of the day.

Recall that we are using the term "purgatory" to refer to a temporary trading range and/or window created by the highest price level before the GSE bailout and the lowest price level after the bailout. Although we did drop out of this window on Tuesday, in terms of technical analysis, it's common to require a trend to "confirm" itself by staying outside the window through the next trading day. Since we came back yesterday, we can STILL consider ourselves rangebound in purgatory.

5.5's are at 100-01 which is up 2 ticks from yesterday