Down 32%, Is It Safe to Invest in the Nasdaq Right Now?

To say the past few months have been tough ones for investors would be a considerable understatement. They've been downright awful, particularly for owners of aggressive technology names. The tech-rich Nasdaq Composite (NASDAQINDEX: ^IXIC) now sits 32% below its November high, falling to new 52-week lows just this week.

There are two schools of thought about the pullback. On the one hand, some investors suspect the market's current momentum could continue dragging it lower. Conversely, after losing one-third of its value over the course of just six months, other investors believe all of the potential downside has already been wrung out, making now a great time to step in.

Which of these camps is right? The best answer: it depends. For the record, though, the odds favor the "buy now" crowd.

Source Fool.com