The Nasdaq taking out its July lows says to me, 'Guys, we still have a bear market on our hands,'

This has been the strongest rally we've had since the bear market started. There continues to be good demand for stocks. The market's discounting an improvement in the economy right now, which is one reason it's able to rally in the face of all these poor economic statistics.

I certainly believe that we're in a bear market and we're going test the lows that we established last week, and that we will go through them. But there will be life after the bear market.

I think it's (the market) going to keep taking its temperature.

They'll only be limited by what the market can bear.

During those years, a market used to last about 9-10 months. In 1990 we had a bear market which took 3 months.