Many people like to pick the bottom, while I like to buy it low as well but I will do it when there is some evidence where the bottom may be formed. Bottom is hindsight but what we can do is to increase the probability when we do so. And I will share some tip what I am looking for.
This is a technique originated from canslim model where we should look for a follow through day. As we can see the S&P hit a low on March 24 and after the 4th and later day, if we see one up bar which is larger than 1% and the trade volume is above the previous day, this is the follow through day and give you a bit of hint that the bottom may be forming. This is given if the true bottom is not breached.
Up until now, we are still waiting the follow through day, the pre-market is looking good, let see how the market finishes today.