Where do we go next?

Dow is now under 7000. Since last October the investors have fought hard to keep the Dow stay above 8000 and sometimes even try to make it above 7500 - the lowest during the dot com bust. Unfortunately in late February the line was breached and things kept going south as nothing seemed to stop the slide.

So here we are right now. Sitting around 6900. People may say this is now the best time to invest. However, at this point, I would advice to be super cautious, hold on to your ammo and prepare for the next rebound. Yes, now you are getting the stock at super discount price. However you may also caught the wave of bankcupty and bought a worthless stock. So beware, hold on to your cash or at least look for company with tons of cash in hand.