Last Friday, when the Dow Jones Industrials were down 150 points, the Gartman Letter's Dennis Gartman predicted a huge sell-off after the weekend — unless something changed.
The market rallied back, and Gartman didn't get the "capitulation" plunge he says is necessary before recovery can take place. "Maybe this is one of those times that a bear market ends by just going sideways," he conceded to CNBC.
So where is he putting his money?
"Last week, I became quite bullish and said I want to buy copper," he said. "I want to buy steel; I want to buy old, prosaic, dividend-paying stocks, businesses you can understand."
One thing he understands is, in a recession, people scale back — to businesses like Walmart. And beyond.
"The biggest trade I've had on for a while is long on Family Dollar Stores and short on the mall owners," he said.