If your short the market you had to like the market action today. After a wash out on Tuesday (in which we broke that 808 mark), for the market to finish flat as it just grinded up and down in a narrow range I take as very bearish. If you look at the internals, they were much worse than the overall market with many more stocks down than up. It wouldn't be surprising at this point to see a run at 800 to 805 but I would guess based how the market reacted today that in the next three trading days we will have another meaningful move lower. Equities as usual are the whipping boy. Things are being driven overseas, in the currency markets, and now the debt markets again are acting up. Equities are just responding.
Only thing I would like to see is the NASDAQ breaking down. That so far isn't happening with the NASDAQ still higher than the January lows. There are alot of tech stocks with alot of cash and the one area of the market where you have war veterans of depressionary economics when the tech companies went through their own depression several years ago after the tech bust. Still I think it is only a matter of time before it heads at least somewhat lower.
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