The market has definitely changed direction on us. Here is the chart of the XLF. As we discussed in the weekly analysis over the last couple of weeks XLF was a key inidicator to market health. We broke 14 in a bigh way yesterday. Any bullishness in the general market should set us up to play the short side of the market. One item to watch to see if the blood-letting can be stopped is what happens in Europe in relation to the governments there that are essentially bankrupt - Greece, Spain, Ireland, Italy somewhat, Portugal, etc. We are having government bankruptcy issues here as well and this is the next stage of the credit crisis. We will pay the piper one way or another, looks like it will be sooner rather than later right now. This can change on a dime so honor trading systems and stops.
