After plunging in the wake of the September 11 terrorist attacks, the stock market has bounced nicely. Of course, the question that now must be answered is the following: Is this bounce off the lows the beginning of a sustained upward move?

Several reasons exist to be bullish on this market:

• Corporate America is buying back its stock in droves.
• The market has shown good resilience in the face of a bounty of bad news.
• This bear market is long in the tooth (19 months and counting) based on historical standards.

Yet, the bears have their reasons, too:

• Stocks are still expensive. The price/earnings ratio on the S&P 500 is a not-so-low 29.
• It's still the first bounce. Usually after a market pounding, the first bounce is not a result of investors believing stocks offer great value. Rather, it usually results from short sellers covering their positions and locking up their profits. This bounce tends to be more of a trading move and usually is not sustained.
• Rallies within bear markets tend to be violent and brief. The Dow has made up a lot of ground in a relatively short period of time. Ditto for other market indexes. Rallies within bear markets tend to be rather violent, but also rather brief. This rally has that feel to it.

Where do I come down on the market? Quite honestly, I'm not sure it matters whether you think the bounce is the beginning of a bull market or a rally within a bear market. Timing the market is oftentimes a loser's game. As a long-term investor, the best approach remains maintaining a regular investment program. Investing through thick and thin should pay ample dividends down the road, regardless of near-term market fluctuations.